Latin American E-commerce Sales Expected to Reach $215.31 Billion by 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 14h ago
0mins
Source: Yahoo Finance
- Market Growth Potential: According to a joint report by Endeavor and MercadoLibre, Latin American e-commerce sales are projected to reach $215.31 billion by 2026, growing 1.5 times faster than the global average, indicating strong growth potential in the region's e-commerce market.
- Dominant Countries: Argentina, Brazil, and Mexico are expected to account for nearly 85% of e-commerce sales in Latin America by 2025, highlighting the importance and market concentration of these three countries within the regional e-commerce ecosystem.
- Consumer Behavior Insights: The survey reveals that 84% of online shopping is conducted via mobile devices, yet customer loyalty remains fragile, with nearly half of consumers indicating they would abandon a platform after a single negative experience, posing challenges for e-commerce platforms in retaining customers.
- Execution vs. Investment Imbalance: The report notes that while e-commerce platforms heavily invest in recommendation algorithms, they fall short in basic execution, as 75% of respondents consider clarity in pricing and policies very important, suggesting a need for platforms to enhance fundamental services to improve customer satisfaction.
Analyst Views on MELI
Wall Street analysts forecast MELI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for MELI is 2783 USD with a low forecast of 2500 USD and a high forecast of 2950 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Analyst Rating
10 Buy
1 Hold
0 Sell
Strong Buy
Current: 2212.620
Low
2500
Averages
2783
High
2950
Current: 2212.620
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.
