WallStSmart

Macy’s Inc (M)vsMercadoLibre Inc. (MELI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

MercadoLibre Inc. generates 27% more annual revenue ($28.89B vs $22.71B). MELI leads profitability with a 6.9% profit margin vs 2.1%. MELI appears more attractively valued with a PEG of 0.82. MELI earns a higher WallStSmart Score of 62/100 (C+).

M

Buy

51

out of 100

Grade: C-

Growth: 4.0Profit: 6.5Value: 7.3Quality: 5.8
Piotroski: 4/9Altman Z: 2.51

MELI

Buy

62

out of 100

Grade: C+

Growth: 7.3Profit: 6.5Value: 7.3Quality: 5.3
Piotroski: 2/9Altman Z: 2.04
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MSignificantly Overvalued (-88.0%)

Margin of Safety

-88.0%

Fair Value

$11.56

Current Price

$17.87

$6.31 premium

UndervaluedFair: $11.56Overvalued
MELISignificantly Overvalued (-654.8%)

Margin of Safety

-654.8%

Fair Value

$267.38

Current Price

$1635.76

$1368.38 premium

UndervaluedFair: $267.38Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

M5 strengths · Avg: 9.2/10
P/E RatioValuation
9.9x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Operating MarginProfitability
77.0%10/10

Strong operational efficiency at 77.0%

Revenue GrowthGrowth
20.0%8/10

Revenue surging 20.0% year-over-year

Free Cash FlowQuality
$1.06B8/10

Generating 1.1B in free cash flow

MELI5 strengths · Avg: 9.0/10
Return on EquityProfitability
36.0%10/10

Every $100 of equity generates 36 in profit

Revenue GrowthGrowth
44.6%10/10

Revenue surging 44.6% year-over-year

Market CapQuality
$87.82B9/10

Large-cap with strong market position

PEG RatioValuation
0.828/10

Growing faster than its price suggests

Free Cash FlowQuality
$4.78B8/10

Generating 4.8B in free cash flow

Areas to Watch

M3 concerns · Avg: 3.0/10
PEG RatioValuation
1.824/10

Expensive relative to growth rate

Profit MarginProfitability
2.1%3/10

2.1% margin — thin

EPS GrowthGrowth
-60.0%2/10

Earnings declined 60.0%

MELI4 concerns · Avg: 3.0/10
Price/BookValuation
12.3x4/10

Trading at 12.3x book value

Profit MarginProfitability
6.9%3/10

6.9% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
44.1x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : M

The strongest argument for M centers on P/E Ratio, Price/Book, Operating Margin. Revenue growth of 20.0% demonstrates continued momentum.

Bull Case : MELI

The strongest argument for MELI centers on Return on Equity, Revenue Growth, Market Cap. Revenue growth of 44.6% demonstrates continued momentum. PEG of 0.82 suggests the stock is reasonably priced for its growth.

Bear Case : M

The primary concerns for M are PEG Ratio, Profit Margin, EPS Growth. Thin 2.1% margins leave little buffer for downturns.

Bear Case : MELI

The primary concerns for MELI are Price/Book, Profit Margin, Piotroski F-Score. A P/E of 44.1x leaves little room for execution misses.

Key Dynamics to Monitor

M profiles as a growth stock while MELI is a hypergrowth play — different risk/reward profiles.

MELI carries more volatility with a beta of 1.53 — expect wider price swings.

MELI is growing revenue faster at 44.6% — sustainability is the question.

MELI generates stronger free cash flow (4.8B), providing more financial flexibility.

Bottom Line

MELI scores higher overall (62/100 vs 51/100) and 44.6% revenue growth. 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.

Macy’s Inc

CONSUMER CYCLICAL · DEPARTMENT STORES · USA

Macy's, Inc., an omnichannel retail organization, operates stores, websites, and mobile apps under the Macy's, Bloomingdale's and bluemercury brands. The company is headquartered in New York, New York.

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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