MercadoLibre surged late Thursday after the Latin American e-commerce and payments giant blew past second-quarter estimates, with net profit more than doubling from the year-earlier period.
MercadoLibre reported earnings of $10.48 a share on revenue of $5.1 billion for the June quarter. Analysts expected EPS of $8.53 on revenue of $4.7 billion. The company reported net income of $531 million, up sharply from $262 million in the year-ago quarter.
"Our ecosystem is gaining more traction, and our investments in product, technology and service levels are extending our position as the region's leading ecommerce and fintech platform," the company said in a letter to shareholders.
MercadoLibre, often described as the Amazon of Latin America, operates a popular e-commerce platform in the region. Its largest markets are Brazil, Mexico and Argentina, where it was founded.
MercadoLibre Stock
MercadoLibre stock jumped 12.1% to 1,799.91 in after-hours trading. The shares had shed nearly 4% in regular trading in a broad market selloff.
MELI stock has a 1792.05 buy point from a cup-with-handle base. Investors could use 1,764.50 as an early entry.
