JD.com Inc ADR (JD) is slightly undervalued and MercadoLibre Inc (MELI) is overvalued.
Against our estimates of intrinsic value, JD trades at the wider discount: a margin of safety of +15%, against -72% for MELI.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 6.6% (average of 2 methods) values the shares at $32.24; the price of $27.38 is 15% below that value.
Leak Score 49/100 on 3 of 12 signals
Discounting its cash flows at 10.1% (average of 3 methods) values the shares at $1060.60; the price of $1826.58 is 72% above that value, and 74% of that value comes from beyond year five.
Leak Score 59/100 on 3 of 12 signals
| Metric | JD | MELI |
|---|---|---|
| Verdict | Slightly undervalued | Overvalued |
| Price | $27.38 | $1826.58 |
| Intrinsic value | $32.24 | $1060.60 |
| Margin of safety | +15% | -72% |
| Leak Score | 49/100 (3/12) | 59/100 (3/12) |
| Market cap | $32.9B | $92.6B |
| Revenue growth, 5 years | 11.0% | 48.7% |
| Operating margin | 0.2% | 8.3% |
| Net margin | 1.1% | 5.3% |
| Return on equity | 6.7% | 27.5% |
| Debt to equity | 0.48 | 2.34 |
| P/E | 18.5x | 49.7x |
| Forward P/E | 6.5x | 33.4x |
| P/B | 1.2x | 11.8x |
| Dividend yield | 3.3% | — |