MercadoLibre downgraded to Neutral from Overweight at JPMorgan

JPMorgan downgraded MercadoLibre (MELI) to Neutral from Overweight with a price target of $2,100, down from $2,650. The company’s competition does not seem to be easing, with Shopee reiterating its willingness to continue sacrificing margins in Brazil, the analyst tells investors in a research note. JPMorgan no longer sees consensus estimates stabilizing with MercadoLibre “openly comfortable” with a higher level of investments in the near future. The firm revised down its profitability expectations. It now sees 15% downside to consensus 2026 EBIT estimates.