MercadoLibre Inc. (MELI)vsWestern Digital Corporation (WDC)
MELI
MercadoLibre Inc.
$1,607.80
-1.65%
CONSUMER CYCLICAL · Cap: $83.47B
WDC
Western Digital Corporation
$575.50
+4.79%
TECHNOLOGY · Cap: $225.26B
Smart Verdict
WallStSmart Research — data-driven comparison
MercadoLibre Inc. generates 170% more annual revenue ($31.80B vs $11.78B). WDC leads profitability with a 55.3% profit margin vs 6.0%. WDC appears more attractively valued with a PEG of 0.58. WDC earns a higher WallStSmart Score of 80/100 (A-).
MELI
Buy58
out of 100
Grade: C
WDC
Exceptional Buy80
out of 100
Grade: A-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+61.8%
Fair Value
$5279.65
Current Price
$1607.80
$3671.85 discount
Intrinsic value data unavailable for WDC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 49.0% year-over-year
Large-cap with strong market position
Every $100 of equity generates 26 in profit
Generating 1.3B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 67 in profit
Keeps 55 of every $100 in revenue as profit
Strong operational efficiency at 37.0%
Revenue surging 45.5% year-over-year
Earnings expanding 482.9% YoY
Areas to Watch
Trading at 11.2x book value
6.0% margin — thin
Elevated debt levels
Weak financial health signals
Premium valuation, high expectations priced in
Distress zone — elevated risk
Trading at 27.5x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : MELI
The strongest argument for MELI centers on Revenue Growth, Market Cap, Return on Equity. Revenue growth of 49.0% demonstrates continued momentum. PEG of 1.02 suggests the stock is reasonably priced for its growth.
Bull Case : WDC
The strongest argument for WDC centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 55.3% and operating margin at 37.0%. Revenue growth of 45.5% demonstrates continued momentum.
Bear Case : MELI
The primary concerns for MELI are Price/Book, Profit Margin, Debt/Equity. A P/E of 43.5x leaves little room for execution misses. Debt-to-equity of 1.70 is elevated, increasing financial risk.
Bear Case : WDC
The primary concerns for WDC are P/E Ratio, Altman Z-Score, Price/Book.
Key Dynamics to Monitor
MELI profiles as a hypergrowth stock while WDC is a growth play — different risk/reward profiles.
WDC carries more volatility with a beta of 2.20 — expect wider price swings.
MELI is growing revenue faster at 49.0% — sustainability is the question.
MELI generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
WDC scores higher overall (80/100 vs 58/100), backed by strong 55.3% margins and 45.5% revenue growth. MELI offers better value entry with a 61.8% margin of safety. Both earn "Exceptional Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
MercadoLibre Inc.
CONSUMER CYCLICAL · INTERNET RETAIL · USA
MercadoLibre, Inc. operates online trading platforms in Latin America. The company is headquartered in Buenos Aires, Argentina.
Western Digital Corporation
TECHNOLOGY · COMPUTER HARDWARE · USA
Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.
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