COMPARE · Reviewed July 28, 2026
MELI vs ULTA
Verdict: Side-by-side breakdown using the Bull Rankings model. MELI scored 79.7, ULTA scored 75.2 — MELI leads.
Compare another set
MELI
MercadoLibre, Inc.
79.7
$1,862.52 · $94.4B
fundamentals as of
Score gap
4.5
MELI leads
ULTA
Ulta Beauty, Inc.
75.2
$501.52 · $21.6B
fundamentals as of
The model, pillar by pillar (0–100 each)
MELI
stronger →← stronger
ULTA
77
Qualityreturns · margins · balance sheet
84
100
Growthrevenue & earnings expansion
86
66
Valuevaluation vs sector peers
59
MELI is stronger on 2 of 3 pillars.
Fundamentals, head-to-head
MELI
ULTA
$11.8bA-
FCF
$1.1bC+
+36.4%A
Rev
+11.3%B
1.70C+
D/E
0.89B
49.2xC
P/E
18.8xB+
1.12B+
PEG
1.67C+
Winner per row is the stronger grade in our model; a tie or a missing value shows no highlight.
Valuation · DCF cross-check
MELI
ULTA
56% below
Price vs fair valuelower is cheaper
1% below
~-6%/yr
Growth the price implies10-yr FCF · lower = less priced in
~7%/yr
+76%
1-yr DCF upside
-8%
+130%
5-yr DCF upside
+1%
+236%
10-yr DCF upside
+17%
The DCF is a cross-check on intrinsic value, separate from the quality-growth score above.
Model signals
MELI
Why this score
- Durable high returns
ULTA
Why this score
- Buying back stock
- Durable high returns
The companies
MELIMercadoLibre, Inc.
Why now
Internet Retail · market cap $94.4b. Down 27% from 52-week high of $2548.50 — deep drawdown territory. Revenue growing +36% — in hypergrowth territory. 24 sell-side analysts rate this a Buy with a mean 1-yr target of $2,215 (implying +19% upside).
Moat
ROE 26% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. Free cash flow runs well ahead of reported net income — non-cash charges (depreciation, intangible amortization) are holding down GAAP earnings while cash generation stays strong. $94.4b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk
Trailing P/E 49x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates. E-commerce competition — Amazon, Walmart, Shein, and Temu have each forced the rest of the category to compete on price, fulfillment speed, or assortment; sustaining margins requires one of those being structurally defended.
ULTAUlta Beauty, Inc.
Why now
Specialty Retail · market cap $21.6b. Down 30% from 52-week high of $714.97 — deep drawdown territory. Revenue growing +11%, comfortably above the S&P median. 24 sell-side analysts rate this a Buy with a mean 1-yr target of $623.42 (implying +24% upside).
Moat
ROE 46% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 95% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk
Mature compounder — the risk is paying up for quality at a moment when growth is decelerating. Watch for sequential revenue + margin trends; the inflection from "compounder" to "ex-compounder" is hard to spot until the multiple already started compressing.
Verdict — model-derived comparison
Generating verdict… typically 5–10 seconds
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.