BofA Highlights MercadoLibre Inc. (MELI) Credit Card Growth and Fintech Expansion

MercadoLibre Inc. (NASDAQ:MELI) ranks among the best fintech stocks to buy as digital payments volume surges. On June 9, Bank of America Securities reaffirmed its Buy rating on MercadoLibre Inc. (NASDAQ:MELI), citing significant long-term returns from the company’s credit card operations, despite near-term margin pressures due to active spending across several business lines.

During the first quarter of 2026, the LATAM e-commerce giant more than doubled its credit card portfolio year-over-year, hitting $6.6 billion, or around 45% of MercadoLibre’s whole loan book. Meanwhile, credit card monthly active users increased by 68%, surpassing the 29% growth in Mercado Pago’s overall monthly active users.

According to BofA analyst Robert E. Ford Aguilar, MercadoLibre Inc. (NASDAQ:MELI) only had 3.4% of industry credit card balances in Brazil and 2.5% in Mexico as of March 2026, despite the company’s quick growth. Based on the analyst’s estimate, the credit card segment would approach breakeven in 2028 after reporting an EBIT loss of $443 million in 2026, which would represent a 1.1 percentage-point drag on consolidated margin.

MercadoLibre Inc. (NASDAQ:MELI) is an internet retail company that primarily operates Mercado Libre Marketplace, an online commerce platform, and Mercado Pago, a fintech platform.

While we acknowledge the risk and potential of MELI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MELI and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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