CFO Pedro Arnt was happy with how things turned out for the end of the year, especially with rising user growth and sales growth in local currency terms.
“I am pleased to report another quarter of solid performance in our business, across our key business units. During the 4Q’18 we have continued our efforts to re-calibrate our P&L with initiatives such as continued changes to our discounted shipping initiatives, and free listing caps, which allowed us to improved enhanced marketplace monetization. As a consequence our Net Revenues accelerated for the 3rd consecutive quarter, reaching 61.8% YoY on an FX neutral basis,” Arnt said.
As a result, Stifel Nicolaus reiterated its “buy” rating for the e-commerce giant, according to Fairfield Current.
“We believe the long-term opportunity for MercadoLibre remains attractive given its leadership position in eCommerce and the attractive growth opportunity in the payments business. We reiterate our Buy rating and are increasing our price target to $460 after raising our long-term revenue and operating income forecasts,” Stifel Nicolaus analysts said.
For more information on the developing economies, visit our emerging markets category.