Q: Hi 5i,
MELI has had a sharp decline in its share price the past two days and I can't seem to find any news that would explain it.
I know.... I cringe when I see a question about "why did this stock price drop" and usually the answer is "because the market is crazy and doesn't have to make sense short term".
I am asking this question because when I take a look at what I would consider MELI's competitors/similiar business, like AMZN and SHOP, their stock prices are moving in a positive or at least stable direction. Can't help but feel as though I am missing some key info.
I have held the stock for over 5 years and intend to hold it for at least another 2-3years. Still have confidence in the Business model going forward.
Maybe I'm just letting the market noise finally get to me.
Would appreciate your thoughts.
Thank you,
Greg C.
MELI has had a sharp decline in its share price the past two days and I can't seem to find any news that would explain it.
I know.... I cringe when I see a question about "why did this stock price drop" and usually the answer is "because the market is crazy and doesn't have to make sense short term".
I am asking this question because when I take a look at what I would consider MELI's competitors/similiar business, like AMZN and SHOP, their stock prices are moving in a positive or at least stable direction. Can't help but feel as though I am missing some key info.
I have held the stock for over 5 years and intend to hold it for at least another 2-3years. Still have confidence in the Business model going forward.
Maybe I'm just letting the market noise finally get to me.
Would appreciate your thoughts.
Thank you,
Greg C.
5i Research Answer:
We see no material news of any kind, though trading volume has picked up. Last week its target...
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in AMZN.