What the Options Market Tells Us About MercadoLibre

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Investors with a lot of money to spend have taken a bearish stance on MercadoLibre MELI.

And retail traders should know.

We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.

Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with MELI, it often means somebody knows something is about to happen.

So how do we know what these investors just did?

Today, Benzinga's options scanner spotted 14 uncommon options trades for MercadoLibre.

This isn't normal.

The overall sentiment of these big-money traders is split between 28% bullish and 71%, bearish.

Out of all of the special options we uncovered, 3 are puts, for a total amount of $180,950, and 11 are calls, for a total amount of $2,452,671.

What's The Price Target?

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $1470.0 to $2680.0 for MercadoLibre over the recent three months.

Insights into Volume & Open Interest

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for MercadoLibre's options for a given strike price.

Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of MercadoLibre's whale activity within a strike price range from $1470.0 to $2680.0 in the last 30 days.

MercadoLibre Call and Put Volume: 30-Day Overview

Options Call Chart

Biggest Options Spotted:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Ask Bid Price Strike Price Total Trade Price Open Interest Volume
MELI CALL SWEEP BULLISH 03/14/25 $41.9 $27.0 $40.71 $2050.00 $916.1K 60 622
MELI CALL SWEEP BEARISH 03/14/25 $35.2 $27.1 $27.1 $2050.00 $550.7K 60 827
MELI CALL SWEEP BULLISH 03/14/25 $36.0 $19.8 $30.26 $2050.00 $349.9K 60 201
MELI CALL SWEEP BULLISH 03/14/25 $34.0 $33.7 $33.7 $2050.00 $314.2K 60 51
MELI CALL TRADE BULLISH 03/21/25 $128.6 $126.5 $128.6 $1920.00 $64.3K 45 0

About MercadoLibre

MercadoLibre runs the largest e-commerce marketplace in Latin America, with more than 218 million active users and 1 million active sellers across 18 countries stitching into its commerce network or fintech solutions when last reported. The company operates a host of complementary businesses to its core online shop, with shipping solutions (Mercado Envios), a payment and financing operation (Mercado Pago and Mercado Credito), advertisements (Mercado Clics), classifieds, and a turnkey e-commerce solution (Mercado Shops) rounding out its arsenal. MercadoLibre generates revenue from final value fees, advertising royalties, payment processing, insertion fees, subscription fees, and interest income from consumer and small-business lending.

Following our analysis of the options activities associated with MercadoLibre, we pivot to a closer look at the company's own performance.

Where Is MercadoLibre Standing Right Now?

  • With a volume of 15,261, the price of MELI is up 0.87% at $2007.51.
  • RSI indicators hint that the underlying stock is currently neutral between overbought and oversold.
  • Next earnings are expected to be released in 50 days.

What Analysts Are Saying About MercadoLibre

In the last month, 5 experts released ratings on this stock with an average target price of $2710.0.

Unusual Options Activity Detected: Smart Money on the Move

Benzinga Edge's Unusual Options board spots potential market movers before they happen. See what positions big money is taking on your favorite stocks. Click here for access. * An analyst from Cantor Fitzgerald persists with their Overweight rating on MercadoLibre, maintaining a target price of $3000. * Maintaining their stance, an analyst from Barclays continues to hold a Overweight rating for MercadoLibre, targeting a price of $2500. * Consistent in their evaluation, an analyst from JP Morgan keeps a Neutral rating on MercadoLibre with a target price of $2300. * Consistent in their evaluation, an analyst from B of A Securities keeps a Buy rating on MercadoLibre with a target price of $3000. * An analyst from Goldman Sachs persists with their Buy rating on MercadoLibre, maintaining a target price of $2750.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for MercadoLibre with Benzinga Pro for real-time alerts.

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MELIMercadoLibre Inc
$1982.93-0.36%

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