MercadoLibre dips 20%, seen as strong buy amid Brazil growth and market headwinds

MercadoLibre (MELI) experienced a roughly 20% price drop, which is viewed as a strong buying opportunity by analyst Gary Alexander. Despite short-term challenges in Argentina and Mexico, the company's dominant market position and 50% year-over-year revenue growth in Q2 justify its premium valuation of about 20 times adjusted EBITDA. Growth in Brazil's gross merchandise volume (GMV) is accelerating, offsetting slower markets and highlighting MELI's long-term potential. The analyst maintains a Buy rating, emphasizing MELI as a core holding amid a volatile market environment.