1 Monster Growth Stock Up 1,500% in 10 Years Is Still a Top Buy in 2024, According to Select Wall Street Analysts

MercadoLibre (NASDAQ: MELI) is the largest e-commerce company in Latin America, a title that has drawn comparisons to Amazon. But the similarities run deeper. MercadoLibre may not have a cloud computing business, but it has developed an ecosystem of services that support its marketplace and create additional monetization opportunities.

MercadoLibre’s decision to follow the Amazon blueprint has paid off in spades for investors. The stock soared 1,500% over the last decade, compounding at an annual rate of 31%. That means $10,000 invested in MercadoLibre in March 2014 would be worth more than $152,000 today. For context, $10,000 invested in the S&P 500 at the same time would now be worth about $28,000.

Despite that performance, MercadoLibre has a market capitalization of just $75 billion, making it 24 times smaller than Amazon, and select Wall Street analysts still see the company as a worthwhile investment. For instance, Marcelo Santos at JPMorgan Chase and Andrew Ruben at Morgan Stanley selected the stock as a top pick in 2024. Read on to learn more about the so-called “Amazon of Latin America.”

MercadoLibre is the e-commerce market leader in Latin America

MercadoLibre hosts the largest e-commerce and payments ecosystem in Latin America. In every major geography, its online marketplace tops the competition in terms of unique visitors and page views, and it accounts for about 29% of online retail sales across the region. However, Morgan Stanley expects that figure to reach 31% by 2027, meaning the company is still gaining market share.

MercadoLibre’s scale creates a network effect, a virtuous cycle that pulls more merchants and consumers into its ecosystem over time. That happens because each consumer makes the marketplace more valuable for merchants, and each merchant makes the marketplace more valuable for consumers. But much like Amazon, the company supercharges that flywheel with adjacent logistics support, advertising services, credit products, and payment processing.

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Those adjacent solutions make its marketplace even more compelling, and…

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