Cramer's Lightning Round: AbbVie is 'a very good company'
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 08 2024
0mins
Should l Buy MELI?
Source: CNBC
It's that time again! "Mad Money" host Jim Cramer rings the lightning round bell, which means he's giving his answers to callers' stock questions at rapid speed.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy MELI?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on MELI
Wall Street analysts forecast MELI stock price to rise
11 Analyst Rating
10 Buy
1 Hold
0 Sell
Strong Buy
Current: 1718.970
Low
2500
Averages
2783
High
2950
Current: 1718.970
Low
2500
Averages
2783
High
2950
About MELI
MercadoLibre Inc is a Uruguay-based e-commerce business facilitator of Argentinian origins. The e-commerce products enable retail and wholesale via Internet platforms designed to provide users with a portfolio of services to facilitate commercial transactions. The Company's geographic coverage includes 18 countries of Latin America. The primary offer is an ecosystem of six integrated e-commerce services: the Mercado Libre Marketplace, the Mercado Libre Classifieds service, the Mercado Pago payments solution, the Mercado Credito financial solutions, the Mercado Envios logistic solutions including shipping, the Mercado Ads advertising platform and the Mercado Shops digital storefront solution.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Investment Comparison: Amazon vs. MercadoLibre
- Market Performance Comparison: Amazon's stock is down 16% from its peak, while MercadoLibre has fallen 34%, indicating vulnerability for both in a down market, prompting cautious investor decisions.
- Financial Health Overview: Amazon's commitment to $200 billion in capital expenditures by 2025, despite holding $123 billion in liquidity, raises concerns about potential financial impacts if AI growth slows.
- Growth Potential Analysis: MercadoLibre achieved a 44% year-over-year revenue growth in 2025, but its profit increase of less than 5% due to rising provisions for doubtful accounts highlights challenges in a competitive landscape.
- Investor Choice Recommendation: While MercadoLibre offers more growth potential, Amazon's solid growth numbers and market leadership position it as a more suitable choice for risk-averse investors.
See More
Comparative Investment Analysis of Amazon and MercadoLibre
- Amazon's Investment Scale: Amazon has committed to increasing its capital expenditures to $200 billion in 2025, significantly up from $131 billion in 2025, and while it holds $123 billion in liquidity, such high spending could pose risks if AI growth slows down.
- Revenue and Profit Growth: In 2025, Amazon's net sales rose by 12% year-over-year, with net income surging by 31%, and its low 30 P/E ratio could attract more investors looking for sustained growth potential.
- MercadoLibre's Market Challenges: Despite achieving a 44% annual revenue growth in 2025, MercadoLibre's profit growth was less than 5% due to increased competition, making its 44 P/E ratio appear high and reflecting market concerns about its future profitability.
- Risk and Return Comparison: While MercadoLibre shows greater potential for percentage growth, the risks in the Latin American market are higher, whereas Amazon's solid growth figures suggest it may be a more suitable choice for risk-averse investors.
See More
E-commerce Market Growth Potential is Huge
- Increased Market Competition: MercadoLibre faces intensifying competition in its core Latin American market, and although its stock began declining before recent volatility, the company is enhancing revenue and customer engagement through expanded free shipping services, which is expected to strengthen its market position.
- Financial Services Expansion: MercadoLibre plans to expand credit and other financial services in countries like Mexico and Argentina, which may negatively impact short-term financial results but will help grow its ecosystem and unlock revenue opportunities in the long run.
- Shopify's Profitability Improvement: Shopify has turned profitable over the trailing 12 months and has gained market share in the U.S. e-commerce space, and while its forward P/E ratio of 82.6 raises concerns among investors, its robust platform and service library position it well for long-term competitiveness in the e-commerce wave.
- Attractive Investment: Despite a 24% decline in stock price this year, Shopify's shares remain attractive, especially when considering its widespread application among small and mid-sized businesses and the moat created by high switching costs.
See More
Nasdaq Enters Correction, Investors Eye Growth Stocks
- Market Correction Impact: The Nasdaq Composite recently fell over 10%, entering correction territory, leading many investors to avoid equities due to challenging macroeconomic conditions, resulting in a cautious market sentiment that requires careful navigation.
- MercadoLibre's Strategy: Despite increased competition in the Latin American market, MercadoLibre is enhancing user engagement through expanded free shipping and increased credit offerings, which may hurt margins in the short term but are expected to drive revenue growth and ecosystem expansion in the long run.
- Shopify's Profitability: Shopify has achieved profitability over the past 12 months and continues to grow its market share, with a high price-to-earnings ratio of 82.6; however, its diverse platform and extensive service library position it as a compelling long-term investment opportunity.
- Investment Opportunity Analysis: Amid the Nasdaq's correction, MercadoLibre and Shopify are highlighted as growth stocks worth considering, as their long-term growth potential and market positions remain attractive despite facing short-term challenges.
See More
Nasdaq 100 Index Enters Correction for First Time in a Year
- Market Correction: The Nasdaq 100 index has entered a correction for the first time in a year, marking a 10% drawdown from all-time highs, which indicates a significant shift in market sentiment that could lead to decreased investor confidence and affect overall market performance.
- MercadoLibre's Growth Potential: MercadoLibre's fintech division generated $12.6 billion in revenue in 2025, up from less than $1 billion in 2019, showcasing its immense potential in the Latin American market, particularly in digital payments and online shopping.
- Coupang's Market Expansion: Coupang is expanding its third-party selling capabilities and has achieved triple-digit revenue growth in Taiwan, indicating strong growth potential in the East Asian market despite challenges from a data breach scandal.
- Investment Opportunity: With MercadoLibre and Coupang's stock prices down 39% and 46% from recent highs, respectively, this presents a compelling buying opportunity for long-term investors, who can expect significant returns over the next decade.
See More
2026 S&P 500 Market Outlook
- Historical Indicator Confidence: Research from LPL Financial shows that since 1950, when the S&P 500 posts positive returns in January, it achieves positive returns for the full year 89% of the time, with an average gain of 16.7%, providing confidence for long-term investors despite a 7% drop at the start of 2026.
- Market Resilience Analysis: Data from Ryan Detrick indicates that despite numerous geopolitical shock events since 1940, the median market return of the S&P 500 12 months later was 7.4%, suggesting that the market has a strong recovery capability over the long term, encouraging investors to continue regular contributions.
- Investment Sentiment Factors: Investor optimism during uncertain times may drive market rebounds, and while short-term corrections of 10% and bear markets every three and a half years are common, long-term investing is still viewed as an effective strategy for beating inflation and building wealth.
- Recommended Investment Strategy: Despite current market turbulence, analysts suggest focusing on reasonably valued potential stocks, with the Motley Fool's analyst team identifying 10 best stocks expected to yield significant returns in the coming years, further emphasizing the importance of adhering to long-term investment principles in uncertain environments.
See More
Investment Comparison: Amazon vs. MercadoLibre
- Market Performance Comparison: Amazon's stock is down 16% from its peak, while MercadoLibre has fallen 34%, indicating vulnerability for both in a down market, prompting cautious investor decisions.
- Financial Health Overview: Amazon's commitment to $200 billion in capital expenditures by 2025, despite holding $123 billion in liquidity, raises concerns about potential financial impacts if AI growth slows.
- Growth Potential Analysis: MercadoLibre achieved a 44% year-over-year revenue growth in 2025, but its profit increase of less than 5% due to rising provisions for doubtful accounts highlights challenges in a competitive landscape.
- Investor Choice Recommendation: While MercadoLibre offers more growth potential, Amazon's solid growth numbers and market leadership position it as a more suitable choice for risk-averse investors.
See More
Comparative Investment Analysis of Amazon and MercadoLibre
- Amazon's Investment Scale: Amazon has committed to increasing its capital expenditures to $200 billion in 2025, significantly up from $131 billion in 2025, and while it holds $123 billion in liquidity, such high spending could pose risks if AI growth slows down.
- Revenue and Profit Growth: In 2025, Amazon's net sales rose by 12% year-over-year, with net income surging by 31%, and its low 30 P/E ratio could attract more investors looking for sustained growth potential.
- MercadoLibre's Market Challenges: Despite achieving a 44% annual revenue growth in 2025, MercadoLibre's profit growth was less than 5% due to increased competition, making its 44 P/E ratio appear high and reflecting market concerns about its future profitability.
- Risk and Return Comparison: While MercadoLibre shows greater potential for percentage growth, the risks in the Latin American market are higher, whereas Amazon's solid growth figures suggest it may be a more suitable choice for risk-averse investors.
See More
E-commerce Market Growth Potential is Huge
- Increased Market Competition: MercadoLibre faces intensifying competition in its core Latin American market, and although its stock began declining before recent volatility, the company is enhancing revenue and customer engagement through expanded free shipping services, which is expected to strengthen its market position.
- Financial Services Expansion: MercadoLibre plans to expand credit and other financial services in countries like Mexico and Argentina, which may negatively impact short-term financial results but will help grow its ecosystem and unlock revenue opportunities in the long run.
- Shopify's Profitability Improvement: Shopify has turned profitable over the trailing 12 months and has gained market share in the U.S. e-commerce space, and while its forward P/E ratio of 82.6 raises concerns among investors, its robust platform and service library position it well for long-term competitiveness in the e-commerce wave.
- Attractive Investment: Despite a 24% decline in stock price this year, Shopify's shares remain attractive, especially when considering its widespread application among small and mid-sized businesses and the moat created by high switching costs.
See More
Nasdaq Enters Correction, Investors Eye Growth Stocks
- Market Correction Impact: The Nasdaq Composite recently fell over 10%, entering correction territory, leading many investors to avoid equities due to challenging macroeconomic conditions, resulting in a cautious market sentiment that requires careful navigation.
- MercadoLibre's Strategy: Despite increased competition in the Latin American market, MercadoLibre is enhancing user engagement through expanded free shipping and increased credit offerings, which may hurt margins in the short term but are expected to drive revenue growth and ecosystem expansion in the long run.
- Shopify's Profitability: Shopify has achieved profitability over the past 12 months and continues to grow its market share, with a high price-to-earnings ratio of 82.6; however, its diverse platform and extensive service library position it as a compelling long-term investment opportunity.
- Investment Opportunity Analysis: Amid the Nasdaq's correction, MercadoLibre and Shopify are highlighted as growth stocks worth considering, as their long-term growth potential and market positions remain attractive despite facing short-term challenges.
See More
Nasdaq 100 Index Enters Correction for First Time in a Year
- Market Correction: The Nasdaq 100 index has entered a correction for the first time in a year, marking a 10% drawdown from all-time highs, which indicates a significant shift in market sentiment that could lead to decreased investor confidence and affect overall market performance.
- MercadoLibre's Growth Potential: MercadoLibre's fintech division generated $12.6 billion in revenue in 2025, up from less than $1 billion in 2019, showcasing its immense potential in the Latin American market, particularly in digital payments and online shopping.
- Coupang's Market Expansion: Coupang is expanding its third-party selling capabilities and has achieved triple-digit revenue growth in Taiwan, indicating strong growth potential in the East Asian market despite challenges from a data breach scandal.
- Investment Opportunity: With MercadoLibre and Coupang's stock prices down 39% and 46% from recent highs, respectively, this presents a compelling buying opportunity for long-term investors, who can expect significant returns over the next decade.
See More
2026 S&P 500 Market Outlook
- Historical Indicator Confidence: Research from LPL Financial shows that since 1950, when the S&P 500 posts positive returns in January, it achieves positive returns for the full year 89% of the time, with an average gain of 16.7%, providing confidence for long-term investors despite a 7% drop at the start of 2026.
- Market Resilience Analysis: Data from Ryan Detrick indicates that despite numerous geopolitical shock events since 1940, the median market return of the S&P 500 12 months later was 7.4%, suggesting that the market has a strong recovery capability over the long term, encouraging investors to continue regular contributions.
- Investment Sentiment Factors: Investor optimism during uncertain times may drive market rebounds, and while short-term corrections of 10% and bear markets every three and a half years are common, long-term investing is still viewed as an effective strategy for beating inflation and building wealth.
- Recommended Investment Strategy: Despite current market turbulence, analysts suggest focusing on reasonably valued potential stocks, with the Motley Fool's analyst team identifying 10 best stocks expected to yield significant returns in the coming years, further emphasizing the importance of adhering to long-term investment principles in uncertain environments.
See More
