MercadoLibre’s Payment Volume Hits $83.7B as Q4 Revenue Rises 45%

MELIMELI

Q4 2025 revenue rose 45% year-over-year, driven by 42% growth in $83.7B payment volume, 90% jump to $12.5B in its credit portfolio and an 11% drop in Brazil’s unit shipping costs. Shares trade at a forward Price/Sales of 2.29x with Outperform/Overweight ratings and $2,600-$2,800 targets despite margin pressure.

1. Q4 2025 Financial Performance

MercadoLibre's revenue rose 45% year-over-year in the fourth quarter of 2025, driven by accelerating commerce sales and structural growth across its platform. Unit shipping costs in Brazil fell 11%, supporting stronger operating momentum despite heavy investment in free-shipping subsidies.

2. Fintech and Logistics Highlights

Total payment volume climbed 42% to $83.7 billion, while the credit portfolio surged 90% to $12.5 billion, enhancing the company’s integrated ecosystem. Logistics efficiencies improved as targeted promotions increased purchase frequency, reinforcing user engagement across key Latin American markets.

3. Valuation and Analyst Ratings

The shares trade at a forward Price/Sales ratio of 2.29x versus the industry average of 1.93x, reflecting robust growth expectations. Outperform and Overweight ratings with $2,600–$2,800 price targets underscore confidence in long-term upside despite near-term margin pressure.

Sources

SFF