November 3, 2011
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of MercadoLibre (Nasdaq: MELI ) are soaring upwards of 35% today after the company reported third-quarter earnings last night.
So what: Third-quarter revenue added up to $81.6 million, representing a 45.9% gain over last year, while earnings per share was $0.60. Both results destroyed the market's expectations of $78.7 million in revenue and $0.43 in earnings per share.
Now what: The "eBay (Nasdaq: EBAY ) of Latin America," which counts the eBay of North America as an investor, saw healthy growth among all geographic segments, particularly Argentina and Venezuela, which saw 55% and 57% growth, respectively. Total confirmed registered users jumped 23% to 62 million, while items sold increased 38.1%. MercadoLibre continues to benefit from the Internet adoption in Latin America and the resulting growth of e-commerce.
Interested in more info on MercadoLibre? Add it to your watchlist by clicking here.