MercadoLibre (MELI) Delivered Robust Results in Q1
In its May 2025 investor letter, Lakehouse Global Growth Fund highlighted stocks such as MercadoLibre, Inc. (NASDAQ:MELI). MercadoLibre, Inc. (NASDAQ:MELI) is an online commerce platform that operates Mercado Libre Marketplace and Mercado Pago FinTech platforms. The one-month return of MercadoLibre, Inc. (NASDAQ:MELI) was -2.62%, and its shares gained 57.97% of their value over the last 52 weeks. On July 3, 2025, MercadoLibre, Inc. (NASDAQ:MELI) stock closed at $2,514.05 per share, with a market capitalization of $127.456 billion.
Lakehouse Global Growth Fund stated the following regarding MercadoLibre, Inc. (NASDAQ:MELI) in its May 2025 investor letter:
"Buenos Aires-based e-commerce leader MercadoLibre, Inc. (NASDAQ:MELI) delivered another strong result with an impressive balance of growth and profitability. Net revenue grew 37% year-on-year to $5.9 billion while operating income grew 45% to US$763 million. It's core marketplace business grew across all major regions and total gross merchandise volume (GMV) increased 26% year-on-year to $13.3 billion. Argentina was a bright spot, with GMV growing 77% in USD terms as the economy continues to experience a rapid recovery. The platform's key metrics remained healthy with unique buyers increasing 25% to 67 million – the strongest growth since early 2021 – and items sold growing 26%.
A customer using their phone to access an online commerce platform.
MercadoLibre, Inc. (NASDAQ:MELI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 108 hedge fund portfolios held MercadoLibre, Inc. (NASDAQ:MELI) at the end of the first quarter which was 96 in the previous quarter. While we acknowledge the potential of MercadoLibre, Inc. (NASDAQ:MELI) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains.
In another article, we covered MercadoLibre, Inc. (NASDAQ:MELI) and shared the list of best NASDAQ growth stocks to buy for the next 3 years. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors. While we acknowledge the potential of MELI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.
Disclosure: None. This article is originally published at Insider Monkey.
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