The stock market inched higher on Thursday following a volatile trading session. Investors bet that the Federal Reserve’s rate hiking campaign may end soon amid concerns about the stability in the global banking system.
Overall, S&P 500 was up 0.3% to 3,949, while NASDAQ increased 1.0% to 11,787.
Tweet of the Day
Hindenburg Research on Block (Formerly Square), $SQ:
1. Block has "systematically taken advantage of demographics it claims to be helping"
2. Interviews with former employees show 40%-75% of accounts are fake
3. Accuses Cash App as "by far" the most used platform for illegal…
— The Kobeissi Letter (@KobeissiLetter) March 23, 2023
Chart of the Day
Here is the one-year chart of MercadoLibre (MELI) as of March 7, 2023, when the stock was at $1,265.
MercadoLibre is the largest online commerce platform in Latin America based on visitors and page views, and gives users a portfolio of services to do commercial transactions. It is like South America’s combination of eBay, PayPal, and Shopify rolled into one.
MercadoLibre is rolling in the profits as profit margins surge. The company delivered 533% profit growth last quarter while revenue grew 57% on a F/X neutral basis and 41% in US dollars. Gross Profit Margin jumped to 48.6% from 40.0% a year earlier. Operating Margin surged from 1.1% to 11.6% during that time.
Analysts estimate MELI’s profits will grow from $9.53 last year to $17.13 this year. That would be great growth. This might be the beginning of a ramp up in terms of profits, as future year estimates are impressive as well.
MELI is part of the Aggressive Growth Portfolio and Growth Portfolio.
