WallStSmart

Genesco Inc (GCO)vsMercadoLibre Inc. (MELI)

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Smart Verdict

WallStSmart Research — data-driven comparison

MercadoLibre Inc. generates 1346% more annual revenue ($35.18B vs $2.43B). MELI leads profitability with a 5.3% profit margin vs 1.7%. GCO appears more attractively valued with a PEG of 0.68. GCO earns a higher WallStSmart Score of 61/100 (C+).

GCO

Buy

61

out of 100

Grade: C+

Growth: 5.3Profit: 3.5Value: 9.3Quality: 6.0
Piotroski: 5/9Altman Z: 2.68

MELI

Buy

58

out of 100

Grade: C

Growth: 7.3Profit: 6.0Value: 6.7Quality: 4.0
Piotroski: 2/9Altman Z: 1.35
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GCOUndervalued (+33.7%)

Margin of Safety

+33.7%

Fair Value

$42.85

Current Price

$37.72

$5.13 discount

UndervaluedFair: $42.85Overvalued
MELIUndervalued (+64.4%)

Margin of Safety

+64.4%

Fair Value

$5665.85

Current Price

$1660.13

$4005.72 discount

UndervaluedFair: $5665.85Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GCO4 strengths · Avg: 9.0/10
P/E RatioValuation
9.5x10/10

Attractively priced relative to earnings

Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.688/10

Growing faster than its price suggests

EPS GrowthGrowth
41.6%8/10

Earnings expanding 41.6% YoY

MELI5 strengths · Avg: 8.8/10
Revenue GrowthGrowth
49.8%10/10

Revenue surging 49.8% year-over-year

Market CapQuality
$92.98B9/10

Large-cap with strong market position

Return on EquityProfitability
23.8%9/10

Every $100 of equity generates 24 in profit

PEG RatioValuation
1.008/10

Growing faster than its price suggests

Free Cash FlowQuality
$3.22B8/10

Generating 3.2B in free cash flow

Areas to Watch

GCO4 concerns · Avg: 3.0/10
Market CapQuality
$392.01M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.6%3/10

ROE of 3.6% — below average capital efficiency

Profit MarginProfitability
1.7%3/10

1.7% margin — thin

Debt/EquityHealth
1.053/10

Elevated debt levels

MELI4 concerns · Avg: 3.3/10
Price/BookValuation
10.7x4/10

Trading at 10.7x book value

Profit MarginProfitability
5.3%3/10

5.3% margin — thin

Debt/EquityHealth
1.683/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : GCO

The strongest argument for GCO centers on P/E Ratio, Price/Book, PEG Ratio. PEG of 0.68 suggests the stock is reasonably priced for its growth.

Bull Case : MELI

The strongest argument for MELI centers on Revenue Growth, Market Cap, Return on Equity. Revenue growth of 49.8% demonstrates continued momentum. PEG of 1.00 suggests the stock is reasonably priced for its growth.

Bear Case : GCO

The primary concerns for GCO are Market Cap, Return on Equity, Profit Margin. Thin 1.7% margins leave little buffer for downturns.

Bear Case : MELI

The primary concerns for MELI are Price/Book, Profit Margin, Debt/Equity. A P/E of 50.5x leaves little room for execution misses. Debt-to-equity of 1.68 is elevated, increasing financial risk.

Key Dynamics to Monitor

GCO profiles as a value stock while MELI is a hypergrowth play — different risk/reward profiles.

GCO carries more volatility with a beta of 1.81 — expect wider price swings.

MELI is growing revenue faster at 49.8% — sustainability is the question.

MELI generates stronger free cash flow (3.2B), providing more financial flexibility.

Bottom Line

GCO scores higher overall (61/100 vs 58/100). MELI offers better value entry with a 64.4% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Genesco Inc

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Genesco Inc. is a retailer and wholesaler of footwear, apparel and accessories. The company is headquartered in Nashville, Tennessee.

MercadoLibre Inc.

CONSUMER CYCLICAL · INTERNET RETAIL · USA

MercadoLibre, Inc. operates online trading platforms in Latin America. The company is headquartered in Buenos Aires, Argentina.

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