Amazon vs Mercadolibre vs Alibaba, the e-Commerce Trinity

3 one-pagers to compare the stocks

E-commerce has been one of the major transformations of the last 15 years. In 3 different geographic zones, 3 leaders have emerged:

• Amazon, leader in the US and in Europe

• Mercalibre, leader in South America

• Alibaba, leader in China

These 3 one-pagers will help you discover and identify the strengths and weaknesses of these companies, their metrics and my fair value estimation.

Please note: there are geopolitical risks associated with investing in Chinese companies, which may justify significant differences between current and fair valuation.

This is an interesting case where my rating system gives the lowest score to a very qualitative company. While the screener identifies whether a stock is in the investable universe, in-depth work then validates the investment. So it is not a purely arithmetical mechanism where the best rating is automatically a stock to buy.

For instance, here, my favorite stock would be Amazon as quality metrics are should improve in the next years.