MercadoLibre (MELI) closed the most recent trading day at $2,035.18, moving -0.34% from the previous trading session. This move lagged the S&P 500's daily gain of 0.03%. Elsewhere, the Dow gained 0.28%, while the tech-heavy Nasdaq lost 0.36%.

The operator of an online marketplace and payments system in Latin America's shares have seen an increase of 17.37% over the last month, surpassing the Retail-Wholesale sector's gain of 9.07% and the S&P 500's gain of 4.19%.

The investment community will be closely monitoring the performance of MercadoLibre in its forthcoming earnings report. The company is predicted to post an EPS of $7.26, indicating a 123.38% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $5.84 billion, indicating a 37.11% increase compared to the same quarter of the previous year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for MercadoLibre. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.46% increase. MercadoLibre is currently a Zacks Rank #3 (Hold).

From a valuation perspective, MercadoLibre is currently exchanging hands at a Forward P/E ratio of 46.46. This indicates a premium in contrast to its industry's Forward P/E of 21.96.

Investors should also note that MELI has a PEG ratio of 1.08 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Commerce was holding an average PEG ratio of 1.13 at yesterday's closing price.

The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 65, which puts it in the top 26% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

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