Wall Street Sees 13% Upside for S&P 500; Microsoft & MercadoLibre in Focus

Wall Street analysts have targeted a 13% gain for the S&P 500. Investors should consider Microsoft and MercadoLibre, with both companies showing growth potential despite recent challenges.

Date: 21-02-2025

AI Rating: 7

Earnings Per Share (EPS)

The report mentions Microsoft's expected annual earnings increase of 13% through fiscal 2026. MercadoLibre, on the other hand, is projected to see a significant earnings growth rate of 43% annually through 2025. This indicates strong future profitability potential for both companies.

Revenue Growth

The analysis indicates that MercadoLibre's market share in retail e-commerce is forecasted to grow from 28% in 2024 to 30% by 2026, accompanied by a general increase in online retail sales projected at 10% annually through 2028. This positions MercadoLibre for sustained revenue growth.

Net Income

While specific net income values aren't provided, the anticipated significant increases in both companies' earnings suggest positive net income trajectories in their respective future fiscal results.

Profit Margins

The report does not mention profit margins directly, so no specific metrics can be analyzed here.

Free Cash Flow (FCF)

No information regarding free cash flow is presented in the report.

Return on Equity (ROE)

Information on return on equity is not included in the report.

In conclusion, the report presents a generally positive outlook for both Microsoft and MercadoLibre, focusing on their earnings growth and potential revenue growth. Particularly, the expected earnings growth rates for both companies suggest favorable market conditions and opportunities for investors. The target price predictions for both stocks imply increased investor confidence and potential stock price appreciation.

Stocks: MSFT MELI