The market continues to sell off $MELI mainly due to margin compression and credit risk. Last quarter credit revenue grew nearly 72% up to $2.28 billion dollars. The main worry lies around the high interest and weak consumer in LatAm. MELI’s NIMAL last quarter was 20.7%, still 4x the average American bank’s NIMAL. This is due to the high inflationary pressures in LatAm allowing Mercado Credito to charge higher interest rates and profit more themselves. Below $2,000 I still believe is a great buy for the long term, as these fears seem completely overblown. Getting millions of users integrated deeply into the Pago & Credito platforms can bring in more predictable revenue for years to come. Long $MELI, who’s buying with me here?
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Dany @danman · 26m
I bought 15 stocks at 1700$ for start my position on it last week. I check it for add more
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