WallStSmart

MercadoLibre Inc. (MELI)vsPortillo's Inc (PTLO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

MercadoLibre Inc. generates 4208% more annual revenue ($31.80B vs $738.25M). MELI leads profitability with a 6.0% profit margin vs 2.1%. PTLO trades at a lower P/E of 20.2x. MELI earns a higher WallStSmart Score of 58/100 (C).

MELI

Buy

58

out of 100

Grade: C

Growth: 7.3Profit: 6.5Value: 6.7Quality: 4.0
Piotroski: 2/9Altman Z: 1.35

PTLO

Hold

42

out of 100

Grade: D

Growth: 4.0Profit: 4.0Value: 7.0Quality: 3.0
Piotroski: 2/9Altman Z: 0.77
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MELIUndervalued (+61.8%)

Margin of Safety

+61.8%

Fair Value

$5279.65

Current Price

$1607.80

$3671.85 discount

UndervaluedFair: $5279.65Overvalued
PTLOUndervalued (+47.4%)

Margin of Safety

+47.4%

Fair Value

$11.05

Current Price

$3.99

$7.06 discount

UndervaluedFair: $11.05Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MELI4 strengths · Avg: 9.0/10
Revenue GrowthGrowth
49.0%10/10

Revenue surging 49.0% year-over-year

Market CapQuality
$84.81B9/10

Large-cap with strong market position

Return on EquityProfitability
26.4%9/10

Every $100 of equity generates 26 in profit

Free Cash FlowQuality
$1.28B8/10

Generating 1.3B in free cash flow

PTLO1 strengths · Avg: 10.0/10
Price/BookValuation
0.6x10/10

Reasonable price relative to book value

Areas to Watch

MELI4 concerns · Avg: 3.3/10
Price/BookValuation
11.2x4/10

Trading at 11.2x book value

Profit MarginProfitability
6.0%3/10

6.0% margin — thin

Debt/EquityHealth
1.703/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PTLO4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
3.5%4/10

3.5% revenue growth

Market CapQuality
$306.89M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.3%3/10

ROE of 3.3% — below average capital efficiency

Profit MarginProfitability
2.1%3/10

2.1% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : MELI

The strongest argument for MELI centers on Revenue Growth, Market Cap, Return on Equity. Revenue growth of 49.0% demonstrates continued momentum. PEG of 1.07 suggests the stock is reasonably priced for its growth.

Bull Case : PTLO

The strongest argument for PTLO centers on Price/Book.

Bear Case : MELI

The primary concerns for MELI are Price/Book, Profit Margin, Debt/Equity. A P/E of 44.1x leaves little room for execution misses. Debt-to-equity of 1.70 is elevated, increasing financial risk.

Bear Case : PTLO

The primary concerns for PTLO are Revenue Growth, Market Cap, Return on Equity. Thin 2.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

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

PTLO carries more volatility with a beta of 1.59 — expect wider price swings.

MELI is growing revenue faster at 49.0% — sustainability is the question.

MELI generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

MELI scores higher overall (58/100 vs 42/100) and 49.0% revenue growth. PTLO offers better value entry with a 47.4% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

MercadoLibre Inc.

CONSUMER CYCLICAL · INTERNET RETAIL · USA

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

Portillo's Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Portillo's Inc., participates in the ownership and operation of informal and quick service restaurants in the United States. The company is headquartered in Oak Brook, Illinois.

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