Latin American e-commerce and fintech company MercadoLibre (NASDAQ:MELI) will be announcing earnings results tomorrow after market hours. Here's what to expect.
Last quarter MercadoLibre reported revenues of $3.76 billion, up 39.8% year on year, beating analyst revenue expectations by 5.9%. It was a very good quarter for the company, with impressive growth in its user base and exceptional revenue growth. The company reported 120 million daily active users, up 36.4% year on year.
Is MercadoLibre buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting MercadoLibre's revenue to grow 37.6% year on year to $4.13 billion, in line with the 40.9% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $7.02 per share.
The analysts covering the company have been growing increasingly bullish about the business heading into the earnings, with revenue estimates seeing three upwards revisions over the last thirty days. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 4.5%.
Looking at MercadoLibre's peers in the consumer internet segment, some of them have already reported Q4 earnings results, giving us a hint of what we can expect. Teladoc delivered top-line growth of 3.6% year on year, missing analyst estimates by 1.6%. Teladoc was down 13.2%.
Read our full analysis of Teladoc's results here.
Investors in the consumer internet segment have had steady hands going into the earnings, with the stocks up on average 1.7% over the last month. MercadoLibre is down 1.2% during the same time, and is heading into the earnings with analyst price target of $1,880.7, compared to share price of $1,739.2.
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