MercadoLibre Inc. (MELI)vsWilliams-Sonoma Inc (WSM)
MELI
MercadoLibre Inc.
$1,867.30
+0.81%
CONSUMER CYCLICAL · Cap: $91.65B
WSM
Williams-Sonoma Inc
$216.62
-2.31%
CONSUMER CYCLICAL · Cap: $26.36B
Smart Verdict
WallStSmart Research — data-driven comparison
MercadoLibre Inc. generates 303% more annual revenue ($31.80B vs $7.88B). WSM leads profitability with a 13.8% profit margin vs 6.0%. MELI appears more attractively valued with a PEG of 1.12. MELI earns a higher WallStSmart Score of 58/100 (C).
MELI
Buy58
out of 100
Grade: C
WSM
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+61.6%
Fair Value
$5249.55
Current Price
$1867.30
$3382.25 discount
Intrinsic value data unavailable for WSM.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 49.0% year-over-year
Large-cap with strong market position
Every $100 of equity generates 26 in profit
Generating 1.3B in free cash flow
Every $100 of equity generates 58 in profit
Safe zone — low bankruptcy risk
Areas to Watch
Trading at 13.0x book value
6.0% margin — thin
Elevated debt levels
Weak financial health signals
Moderate valuation
Trading at 12.4x book value
4.4% revenue growth
4.3% earnings growth
Comparative Analysis Report
WallStSmart ResearchBull 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 1.12 suggests the stock is reasonably priced for its growth.
Bull Case : WSM
The strongest argument for WSM centers on Return on Equity, Altman Z-Score.
Bear Case : MELI
The primary concerns for MELI are Price/Book, Profit Margin, Debt/Equity. A P/E of 47.9x leaves little room for execution misses. Debt-to-equity of 1.70 is elevated, increasing financial risk.
Bear Case : WSM
The primary concerns for WSM are P/E Ratio, Price/Book, Revenue Growth.
Key Dynamics to Monitor
MELI profiles as a hypergrowth stock while WSM is a value play — different risk/reward profiles.
WSM carries more volatility with a beta of 1.49 — 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 54/100) and 49.0% 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.
MercadoLibre Inc.
CONSUMER CYCLICAL · INTERNET RETAIL · USA
MercadoLibre, Inc. operates online trading platforms in Latin America. The company is headquartered in Buenos Aires, Argentina.
Williams-Sonoma Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Williams-Sonoma, Inc. is an omnichannel specialty retailer of various home products. The company is headquartered in San Francisco, California.
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