MercadoLibre Stock: Next Stop, $230?
Shares of MercadoLibre (NASDAQ: MELI) hit another all-time high on Tuesday, and one Wall Street pro thinks it's time to cash out of one of this year's hottest stocks. Citi analyst Paola Mello is downgrading shares of the leading Latin American online marketplace operator, lowering her rating on the stock from neutral to sell.
Mello feels that competition will intensify in Brazil, Mexico, and Chile as MercadoLibre faces off against brick-and-mortar chains that are putting some serious muscle behind their rival marketplace platforms. Free shipping promotions may have helped MercadoLibre deliver stellar top-line growth in recent quarters, but Mello feels that the stock's gains just aren't sustainable. She is slashing her price target from $260 to $230.
Image source: MercadoLibre.
Source: Fool.com
Mercadolibre Inc Stock
The stock is an absolute favorite of our community with 23 Buy predictions and no Sell predictions.
With a target price of 1769 € there is a slightly positive potential of 19.74% for Mercadolibre Inc compared to the current price of 1477.4 €.
