10 Best Growth Stocks to Buy for the Next 2 Years

2. MercadoLibre Inc. (NASDAQ:MELI)

EPS Forward Long Term Growth (3-5 Year CAGR): 31.66%

Number of Hedge Fund Holders: 116

MercadoLibre Inc. (NASDAQ:MELI) is one of the best growth stocks to buy for the next 2 years. On August 18, Citi lowered the firm’s price target on MercadoLibre to $2,850 from $2,900, while keeping a Buy rating on the shares. Before this announcement, the company also announced its Q2 2205 earnings report, which demonstrated record-breaking growth in both its commerce and fintech segments.

The company’s revenue increased by over 30% year-on-year, and it achieved a record income from operations of $825 million. This growth was supported by a strategic decision to lower the free shipping threshold in Brazil, which successfully attracted new users, boosted engagement, and accelerated Gross Merchandise Volume/GMV growth.

MercadoLibre’s advertising business demonstrated significant momentum, with revenue growing by 38% year-on-year. The company’s fintech arm, Mercado Pago, also saw robust performance. Its monthly active users reached 68 million, and the credit portfolio surpassed $9.3 billion, a remarkable 91% year-on-year increase.

MercadoLibre Inc. (NASDAQ:MELI) operates online commerce platforms in Brazil, Mexico, Argentina, and internationally. The company operates an online commerce platform called Mercado Libre Marketplace and a financial technology solution platform called Mercado Pago.