Mercadolibre Stock Alpha and Beta Analysis
| MELI Stock | USD 1,654 23.29 1.43% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as MercadoLibre. It also helps investors analyze the systematic and unsystematic risks associated with investing in MercadoLibre over a specified time horizon. Remember, high MercadoLibre's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to MercadoLibre's market risk premium analysis include:
Beta 1.24 | Alpha (0.15) | Risk 2.35 | Sharpe Ratio (0.01) | Expected Return (0.03) |
Enterprise Value |
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Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
MercadoLibre |
MercadoLibre Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. MercadoLibre market risk premium is the additional return an investor will receive from holding MercadoLibre long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in MercadoLibre. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate MercadoLibre's performance over market.| α | -0.15 | β | 1.24 |
MercadoLibre expected buy-and-hold returns
Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of MercadoLibre's Buy-and-hold return. Our buy-and-hold chart shows how MercadoLibre performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.MercadoLibre Market Price Analysis
Market price analysis indicators help investors to evaluate how MercadoLibre stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading MercadoLibre shares will generate the highest return on investment. By understating and applying MercadoLibre stock market price indicators, traders can identify MercadoLibre position entry and exit signals to maximize returns.
MercadoLibre Return and Market Media
The median price of MercadoLibre for the period between Wed, Feb 7, 2024 and Tue, May 7, 2024 is 1529.94 with a coefficient of variation of 7.9. The daily time series for the period is distributed with a sample standard deviation of 123.24, arithmetic mean of 1559.9, and mean deviation of 99.16. The Stock received a lot of media exposure during the period. Price Growth (%) |
| Timeline |
1 | MercadoLibre, Inc. Publishes its 2024 Institutional Presentation for Investors | 03/18/2024 |
2 | A Look Back at Online Marketplace Stocks Q4 Earnings Coupang Vs The Rest Of The Pack | 04/01/2024 |
3 | JD or MELI Which Is the Better Value Stock Right Now | 04/15/2024 |
4 | Tesla To 180 Here Are 10 Top Analyst Forecasts For Wednesday | 04/24/2024 |
5 | Up 6,326 percent Since IPO, Is It Too Late to Buy MercadoLibre Stock | 04/25/2024 |
6 | MercadoLibre, Inc. to Report First Quarter 2024 Financial Results | 04/29/2024 |
7 | JD vs. MELI Which Stock Should Value Investors Buy Now | 05/01/2024 |
8 | MercadoLibre GAAP EPS of 6.78 beats by 0.83, revenue of 4.33B beats by 460M | 05/02/2024 |
9 | MercadoLibre Stock Trades Up, Here Is Why | 05/03/2024 |
10 | Company News for May 6, 2024 | 05/06/2024 |
About MercadoLibre Beta and Alpha
For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including MercadoLibre or other stocks. Alpha measures the amount that position in MercadoLibre has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
| 2023 | 2024 (projected) | Dividend Yield | 4.1E-5 | 3.9E-5 | Price To Sales Ratio | 5.46 | 5.18 |
MercadoLibre Upcoming Company Events
As portrayed in its financial statements, the presentation of MercadoLibre's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, MercadoLibre's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of MercadoLibre's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of MercadoLibre. Please utilize our Beneish M Score to check the likelihood of MercadoLibre's management manipulating its earnings.
| 22nd of February 2024 Upcoming Quarterly Report | View | |
| 1st of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 22nd of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Build Portfolio with MercadoLibre
Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.Build Diversified Portfolios
Align your risk with return expectations
Check out MercadoLibre Backtesting, MercadoLibre Valuation, MercadoLibre Correlation, MercadoLibre Hype Analysis, MercadoLibre Volatility, MercadoLibre History and analyze MercadoLibre Performance. For more detail on how to invest in MercadoLibre Stock please use our How to Invest in MercadoLibre guide.You can also try the Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Complementary Tools for MercadoLibre Stock analysis
When running MercadoLibre's price analysis, check to measure MercadoLibre's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy MercadoLibre is operating at the current time. Most of MercadoLibre's value examination focuses on studying past and present price action to predict the probability of MercadoLibre's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move MercadoLibre's price. Additionally, you may evaluate how the addition of MercadoLibre to your portfolios can decrease your overall portfolio volatility.
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MercadoLibre technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.