Baillie Gifford Dumps 248,000 MercadoLibre (MELI) Shares Worth About $479 Million

What happened

According to a filing with the Securities and Exchange Commission dated May 8, 2026, Baillie Gifford & Co reduced its stake in MercadoLibre (NASDAQ:MELI) by 248,304 shares. The estimated value of the shares sold was $478.99 million, calculated using the average closing price in the first quarter of 2026. The quarter-end value of the position shifted by $1.42 billion, a figure that includes both share reductions and share price changes.

What else to know

• Following the sale, MercadoLibre represented 5.71% of Baillie Gifford’s reportable U.S. equity assets
• Top holdings after the filing:
  • NASDAQ:NVDA: $7.11 billion (7.3% of AUM)
  • NASDAQ:AMZN: $5.85 billion (6.0% of AUM)
  • NASDAQ:MELI: $5.59 billion (5.7% of AUM)
  • NYSE:SPOT: $3.99 billion (4.1% of AUM)
  • NYSE:NU: $3.54 billion (3.6% of AUM)
• As of May 7, 2026, MercadoLibre shares were priced at $1,870.01, down 17.3% over the past year, underperforming the S&P 500 by 47.62 percentage points
• The fund reported 270 positions after the quarter, with a reportable AUM of $97.89 billion

Company Overview

Company Snapshot

• Offers an integrated suite of e-commerce, fintech, logistics, advertising, and online storefront solutions across Latin America, including the Mercado Libre Marketplace, Mercado Pago, Mercado Envios, and related platforms.
• Generates revenue primarily through transaction fees, financial services, advertising, logistics, and value-added services for merchants and consumers transacting on its digital platforms.
• Serves businesses, merchants, and individual consumers in Latin America, targeting both online sellers and buyers seeking digital commerce and payment solutions.

MercadoLibre, Inc. is a leading e-commerce and fintech platform in Latin America, leveraging its scale and technology infrastructure to facilitate digital commerce and payments across multiple countries. The company’s integrated ecosystem, spanning marketplace, payments, logistics, and credit, enables it to capture multiple revenue streams and deepen customer engagement. Its competitive advantage lies in its broad service offering, regional reach, and strong brand recognition within high-growth emerging markets.

What this transaction means for investors

Baillie Gifford’s decision to trim its MercadoLibre position during the fourth quarter is working out well for the UK-headquartered investment firm. Shares of Latin America’s largest e-commerce and financial services provider haven’t been performing as well as they used to. The stock is down by about 19% in 2026.

I wouldn’t look at the transaction as a sign the firm thinks MercadoLibre’s in a tough spot. It trimmed eight of its ten largest positions during the first quarter.

MercadoLibre had plenty of positive performance indicators to point to during its first quarter report. Net revenue and financial income grew 49% year over year, thanks to both its operating segments, Fintech and Commerce.

The market for e-commerce and financial services in Latin America still has a lot of room to grow. The average Latin American makes seven online purchases annually versus 41 for Americans.

When it comes to financial services, there’s even more room for MercadoLibre to grow. In Argentina, for example, credit to individuals as a percentage of GDP is about one-fifth the level of Brazil’s burgeoning market for personal credit products.

Cory Renauer has positions in Amazon and Spotify Technology. The Motley Fool has positions in and recommends Amazon, MercadoLibre, Nu Holdings, Nvidia, and Spotify Technology. The Motley Fool has a disclosure policy.