MELI vs V: Which Is the Better Buy?
Side-by-side comparison of MercadoLibre, Inc. and Visa Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-11.
MercadoLibre, Inc. · Consumer Cyclical
$1,767.42
+41.4% upside to fair value
High Conviction
Grade A
VS
Visa Inc. · Financial Services
$304.36
+37.7% upside to fair value
High Conviction
Grade A-
QuantHub Verdict
MELI has more upside to fair value
(+41.4%).
V trades at a lower forward P/E
(23.7x).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
MELI |
V |
| Current Price |
$1,767.42 |
$304.36 |
| Fair Value Estimate |
$2,500.00 |
$419.00 |
| Upside to Fair Value |
+41.4%
|
+37.7%
|
| Market Cap |
$89.6B |
$586.8B |
| Forward P/E |
35.0x
|
23.7x
|
| EV / EBITDA |
18.5x
|
22.3x
|
| Price / Sales |
3.1x
|
14.2x
|
| Price / FCF |
8.9x
|
25.6x
|
| Revenue Growth YoY |
+39.1%
|
+11.3%
|
| Gross Margin |
44.5%
|
81.08%
|
| Operating Margin |
11.1%
|
59.18%
|
| Return on Equity |
33.7%
|
54.22%
|
| Dividend Yield |
0% |
0.83% |
| FCF Yield |
12.1%
|
3.91%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
MercadoLibre is the dominant e-commerce and fintech ecosystem across Latin America, operating the largest marketplace and digital payments platform in a region with 670M+ people where e-commerce penetration is still under 15%. Revenue grew 39% to $28.9B in FY2025 with $10.8B in free cash flow — a 12% FCF yield at current prices. The company is trading at its 5-year P/S minimum (3.1x) and P/FCF mi…
Visa is the world's dominant payment network with $40B in net revenue (FY2025), 50%+ net margins, and a capital-light toll-booth model processing $14.2T in annual payment volume across 257.5B transactions. The business compounds at 10-12% revenue CAGR with operating leverage pushing EPS growth to 12-15% over a cycle, funded by $21.6B in annual free cash flow against only $1.5B in capex. At 28.0x …
Accumulation Zones
| Metric |
MELI |
V |
| Zone Low |
$1,875.00 |
$265.00 |
| Zone High |
$2,125.00 |
$300.00 |
| In Buy Zone? |
Yes
|
No
|