WallStSmart

Mattel Inc (MAT)vsMercadoLibre Inc. (MELI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

MercadoLibre Inc. generates 541% more annual revenue ($35.18B vs $5.49B). MAT leads profitability with a 7.8% profit margin vs 5.3%. MELI appears more attractively valued with a PEG of 0.92. MAT earns a higher WallStSmart Score of 63/100 (C+).

MAT

Buy

63

out of 100

Grade: C+

Growth: 3.3Profit: 5.5Value: 8.7Quality: 5.5
Piotroski: 3/9Altman Z: 2.56

MELI

Buy

60

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

MATUndervalued (+23.5%)

Margin of Safety

+23.5%

Fair Value

$20.65

Current Price

$14.01

$6.64 discount

UndervaluedFair: $20.65Overvalued
MELIUndervalued (+64.8%)

Margin of Safety

+64.8%

Fair Value

$5728.38

Current Price

$1897.37

$3831.01 discount

UndervaluedFair: $5728.38Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MAT4 strengths · Avg: 8.8/10
P/E RatioValuation
10.3x10/10

Attractively priced relative to earnings

Return on EquityProfitability
23.7%9/10

Every $100 of equity generates 24 in profit

PEG RatioValuation
0.978/10

Growing faster than its price suggests

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

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

Revenue surging 49.8% year-over-year

Market CapQuality
$96.19B9/10

Large-cap with strong market position

Return on EquityProfitability
23.8%9/10

Every $100 of equity generates 24 in profit

PEG RatioValuation
0.928/10

Growing faster than its price suggests

Free Cash FlowQuality
$3.39B8/10

Generating 3.4B in free cash flow

Areas to Watch

MAT4 concerns · Avg: 3.0/10
Profit MarginProfitability
7.8%3/10

7.8% margin — thin

Operating MarginProfitability
1.3%3/10

Operating margin of 1.3%

Debt/EquityHealth
1.373/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

MELI4 concerns · Avg: 3.3/10
Price/BookValuation
12.3x4/10

Trading at 12.3x 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 : MAT

The strongest argument for MAT centers on P/E Ratio, Return on Equity, PEG Ratio. Revenue growth of 10.5% demonstrates continued momentum. PEG of 0.97 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 0.92 suggests the stock is reasonably priced for its growth.

Bear Case : MAT

The primary concerns for MAT are Profit Margin, Operating Margin, Debt/Equity.

Bear Case : MELI

The primary concerns for MELI are Price/Book, Profit Margin, Debt/Equity. A P/E of 51.8x leaves little room for execution misses. Debt-to-equity of 1.68 is elevated, increasing financial risk.

Key Dynamics to Monitor

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

MELI carries more volatility with a beta of 1.31 — expect wider price swings.

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

MELI generates stronger free cash flow (3.4B), providing more financial flexibility.

Bottom Line

MAT scores higher overall (63/100 vs 60/100) and 10.5% revenue growth. MELI offers better value entry with a 64.8% 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.

Mattel Inc

CONSUMER CYCLICAL · LEISURE · USA

Mattel, Inc., a children's entertainment company, designs and produces toys and consumer products worldwide. The company is headquartered in El Segundo, California.

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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