MercadoLibre stock: buy or sell

MELI stock price: $1,576.99 2.84% At close on Apr 21st, 2021

Updated on:
Apr 22nd, 2021

1

MercadoLibre stock brief

  • MercadoLibre closed on Wednesday at $1,576.99 after exploding a 2.84% and broke a streak of 3 sessions in red.
  • MercadoLibre, Inc. operates online commerce platforms in Latin America.

Should I buy MercadoLibre stock?

All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is $MELI stock a buy?

Currently, MercadoLibre stock doesn't match any of these trading strategies, so our recommendation is not to buy now. This doesn't mean we expect a selloff for $MELI in the next few days, or that it may not rise higher. Simply, it doesn't match our recommended trading systems

Should I sell MercadoLibre stock?

When you are a novel trader and you own a stock with some profit, it's really hard to decide the best moment to sell and get your profits. Trading strategies give us the ability us to avoid rash decisions based on our personal emotions or the noise surrounding the market. When selling, as well as buying, detailed strategies are very easy to use but are only valid for selling shares you already own, not for selling short MercadoLibre stock

As a golden rule, you should not hold a trade that yields greater losses than those expected at the time of the buy. The moment to sell your stock should always be ruled by the stop-loss (automatic or manual)

Is it time to sell MercadoLibre stock?

In the current situation of MercadoLibre there is not any eligible sell setup, so MercadoLibre stock holders with operations in green can keep their positions

MercadoLibre ratings

In the last 30 days, just one analyst rating was published for MercadoLibre

MercadoLibre analysts' ratings - Last 30 days
Brokerage firmRating
Mar 31st, 2021
Wolfe Research Buy

MercadoLibre stock analysis

SMAs overview

MELI stock SMAs chart

Supports and resistances

The current resistance levels are:

  • R1: $1,620.11 (2.73% above)
  • R2: $1,629.29 (3.32% above)
  • R3: $1,700.00 (7.80% above)
  • The current support levels are:

  • S1: $1,490.67 (-5.47% below)
  • S2: $1,378.50 (-12.59% below)
  • S3: $1,348.91 (-14.46% below)
  • Bollinger bands

    MELI stock Bollinger Bands chart

    Relative strength index

    The RSI crossed up the oversold level of 30 in early March after just being in the oversold zone for a single day (what can be considered a strength sign). The RSI value on Wednesday was 52.75. Since that level was crossed up, MercadoLibre shares exploded a 15.15%

    MELI stock RSI chart

    MercadoLibre stock price history

    MercadoLibre started trading priced at an adjusted price1 of $21.32 on Aug 2007. Since then, MELI stock has risen by 7,296.76%, with an average of 561.29% per year. An investment of thousand dollars at that time would be valued $73,967.64 nowadays.

    1: Adjusted price after possible price splits or reverse-splits

    MELI stock price history chart

    Price target for MercadoLibre stock

    How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations post their analysis predicting how a particular stock will performance in the future.

    The following table shows the price target released by financial institutions for the last 30 days. If you are a small investor you shouldn't buy or sell based on these forecasts.

    In the previous month we couldn't find any price target published for MercadoLibre stock.

    MercadoLibre stock price predictions
    Brokerage firmPrice target
    Mar 31st, 2021
    Wolfe Research Not available

    Earnings and financials

    In early March, MercadoLibre ($MELI) hosted the financial call and released the report. MercadoLibre reported earnings of $-1.02 per share on sales of $1.3 billion. The Wall St estimate was $0.05 per share on revenue of $1.2 billion.

    In comparison, the EPS for the same quarter last year was $-1.11, so reported EPS means a gain of 8.11%. Turnover skyrocketed a 96.85% on an annualized basis in the , from $6.7B to $13.3B last quarter.

    MercadoLibre ($MELI) is hosting the earnings call next Tuesday. Expected for this quarter is $0.04, compared to $-1.02 that was reported for Q4.

    MercadoLibre performance

    MELI performance compared
    Company1m3m6m
    MercadoLibre ($MELI) 6.60% -21.90% 21.50%

    Disclaimer:
    The opinions written in this article are personal and should not be followed as recommendations for you to buy or sell shares. The author of this text does not know the specific scenarios of the reader, his or her own finances or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are published for learning purposes only

    MercadoLibre summary

    Wednesday, April 21st, 2021
    Open$1514.34
    Close$1576.99
    Day range$1514.34 - $1578.57
    Previous close$1533.41
    Session gain2.84%
    Average true range$65.54
    50d mov avg$1,598.66
    100d mov avg$1,659.80
    200d mov avg$1,409.77
    Earnings dateMay 4th, 2021

    Frequently asked questions

    What is MercadoLibre stock symbol?

    MercadoLibre, Inc. is a public company trading in the US stock market with the MELI symbol

    Is MercadoLibre stock a buy or sell?

    MercadoLibre had one rating in the last four weeks Read the article to get additional tips on trading MELI stock.

    Will MELI go up?

    There were no predictions issued by market analysts in the last 4 weeks for MercadoLibre.