Alibaba Group Holding Limited (BABA) vs MercadoLibre, Inc. (MELI)

MELI leads on 8 of 14 compared metrics, though BABA is the cheaper stock.

A side-by-side comparison of Alibaba Group Holding Limited and MercadoLibre, Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 15, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Compare
Alibaba Group Holding Limited logo
BABA
Alibaba Group Holding Limited
$270.02B
$112.82Consumer Cyclical
MercadoLibre, Inc. logo
MELI
MercadoLibre, Inc.
$83.47B
$1646.36Consumer Cyclical

Total return — BABA vs MELI

growth of $100 · last 12y
BABA +19.7%MELI +1364.0%MELI compounded faster
Log scale — wide-divergence pair
101001k10kStart $100201620182020202220242026$120$1,464
BABA MELI

BABA vs MELI: by the numbers

  • •BABA is the larger company ($270.02B vs $83.47B market cap).
  • •BABA trades at the lower earnings multiple (18.22 vs 43.46 P/E).
  • •BABA converts more revenue to profit (10.09% vs 6.04% net margin).
  • •MELI grew revenue faster over the past five years (46.59% vs 6.31% CAGR).
  • •BABA pays a dividend (0.93% yield) while MELI does not currently pay one.

Which is better, BABA or MELI?

Metric tally: BABA 6 · MELI 8

It depends on what you're optimizing for:

ValueBABA(lower P/E)
GrowthMELI(faster 5Y revenue CAGR)
QualityMELI(higher ROIC)

Metrics side by side

Valuation

MetricBABAMELI
P/E ratio18.22●43.46
Forward P/E—28.73
P/S ratio1.87●2.62
P/B ratio1.77●11.46
PEG ratio0.23●11.34
EV / EBITDA13.88●27.21
FCF yield—12.84%

Profitability

MetricBABAMELI
Gross margin39.77%43.86%●
Operating margin5.78%9.59%●
Net margin10.09%●6.04%
ROE9.58%26.37%●
ROIC3.17%11.78%●

Dividends

MetricBABAMELI
Dividend yield0.93%—
Payout ratio15.89%—

Growth (annualized)

MetricBABAMELI
Revenue CAGR (5Y)6.31%46.59%●
EPS CAGR (5Y)-4.87%83.23%●
FCF CAGR (5Y)-62.38%73.42%●
Total return CAGR (5Y)-10.67%3.23%●

Frequently asked

Which is better, BABA or MELI?
It depends on your goal. value: BABA (lower P/E); growth: MELI (faster 5Y revenue CAGR); quality: MELI (higher ROIC). Across all compared metrics, MELI leads 8 to 6.
Is BABA or MELI cheaper?
On trailing earnings, BABA is cheaper: BABA trades at a 18.22 P/E and MELI at 43.46.
Which has grown faster, BABA or MELI?
Over the past five years, MELI grew revenue faster — BABA at a 6.31% CAGR versus MELI at 46.59%.
Does BABA or MELI pay a bigger dividend?
BABA pays a dividend (0.93% yield) while MELI does not currently pay one.
Is BABA or MELI more profitable?
BABA runs the higher net margin — BABA at 10.09% versus MELI at 6.04%.
Which has been the better investment, BABA or MELI?
Over the past 10-year, MELI delivered the higher annualized total return — BABA at 4.31% versus MELI at 28.60%. Past performance doesn't predict future results.

Go deeper

Full BABA analysisFull MELI analysisInteractive comparison tool

Dig into the metrics

Alibaba Group P/E ratioMercadoLibre P/E ratioAlibaba Group dividend yieldMercadoLibre dividend yieldAlibaba Group ROEMercadoLibre ROEAlibaba Group operating marginMercadoLibre operating marginAlibaba Group revenue growthMercadoLibre revenue growthAlibaba Group free cash flowMercadoLibre free cash flow

Alibaba Group & MercadoLibre appear in these rankings

Fastest Revenue Growth StocksHighest ROE StocksHighest FCF Yield StocksBest 10-Year Total Return Stocks

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 15, 2026.