MercadoLibre Inc. (MELI)vsErmenegildo Zegna NV (ZGN)
MELI
MercadoLibre Inc.
$1,624.53
-2.14%
CONSUMER CYCLICAL · Cap: $92.98B
ZGN
Ermenegildo Zegna NV
$13.49
+0.60%
CONSUMER CYCLICAL · Cap: $3.61B
Smart Verdict
WallStSmart Research — data-driven comparison
MercadoLibre Inc. generates 1680% more annual revenue ($35.18B vs $1.98B). MELI leads profitability with a 5.3% profit margin vs 4.0%. ZGN trades at a lower P/E of 38.3x. MELI earns a higher WallStSmart Score of 58/100 (C).
MELI
Buy58
out of 100
Grade: C
ZGN
Avoid34
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+64.4%
Fair Value
$5665.85
Current Price
$1624.53
$4041.32 discount
Intrinsic value data unavailable for ZGN.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 49.8% year-over-year
Large-cap with strong market position
Every $100 of equity generates 24 in profit
Growing faster than its price suggests
Generating 3.2B in free cash flow
No standout strengths identified
Areas to Watch
Trading at 10.5x book value
5.3% margin — thin
Elevated debt levels
Weak financial health signals
Premium valuation, high expectations priced in
Distress zone — elevated risk
4.0% margin — thin
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : MELI
The strongest argument for MELI centers on Revenue Growth, Market Cap, Return on Equity. Revenue growth of 49.8% demonstrates continued momentum. PEG of 1.00 suggests the stock is reasonably priced for its growth.
Bull Case : ZGN
ZGN has a balanced fundamental profile.
Bear Case : MELI
The primary concerns for MELI are Price/Book, Profit Margin, Debt/Equity. A P/E of 50.5x leaves little room for execution misses. Debt-to-equity of 1.68 is elevated, increasing financial risk.
Bear Case : ZGN
The primary concerns for ZGN are P/E Ratio, Altman Z-Score, Profit Margin. Thin 4.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
MELI profiles as a hypergrowth stock while ZGN is a value play — different risk/reward profiles.
MELI carries more volatility with a beta of 1.31 — expect wider price swings.
MELI is growing revenue faster at 49.8% — sustainability is the question.
MELI generates stronger free cash flow (3.2B), providing more financial flexibility.
Bottom Line
MELI scores higher overall (58/100 vs 34/100) and 49.8% revenue growth. Both earn "Buy" and "Avoid" 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.
Ermenegildo Zegna NV
CONSUMER CYCLICAL · APPAREL MANUFACTURING · USA
Ermenegildo Zegna NV designs, manufactures, exports and sells men's clothing.
Compare with Other INTERNET RETAIL Stocks
Want to dig deeper into these stocks?