MercadoLibre stock gains support, poised for 25% upside amid strong revenue growth and strategic investments.

MercadoLibre is considered a strong buy with a 7% portfolio allocation as its stock found support at key moving averages and has been rising. The company’s revenue growth is accelerating due to strategic investments in shipping, credit cards, and first-party commerce, despite margin pressures. Analysts expect 42% revenue growth but a 12% EPS decline in Q2 FY26, with potential for a stock rerating if earnings beat estimates. Wall Street price targets suggest a 25% upside to $2208 per share, with downside risk to $1750, maintaining a positive long-term outlook if revenue momentum continues.