MELI vs. PDD

Last updated Apr 2, 2026

Compare and contrast key facts about MercadoLibre, Inc. (MELI) and Pinduoduo Inc. (PDD).

Performance

MELI vs. PDD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in MercadoLibre, Inc. (MELI) and Pinduoduo Inc. (PDD). The values are adjusted to include any dividend payments, if applicable.

MELI vs. PDD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
MELI MercadoLibre, Inc.	-14.66%	18.46%	8.20%	85.71%	-37.24%	-19.51%	192.90%	95.30%	-19.49%
PDD Pinduoduo Inc.	-10.24%	16.91%	-33.71%	79.41%	39.88%	-67.19%	369.78%	68.54%	-15.96%

Fundamentals

Market Cap MELI : $87.15B PDD : $151.32B
EPS MELI : $39.39 PDD : $66.65
PE Ratio MELI : 43.64 PDD : 1.53
PEG Ratio MELI : 0.26 PDD : 0.01
PS Ratio MELI : 3.02 PDD : 0.35
PB Ratio MELI : 12.91 PDD : 0.36
Total Revenue (TTM) MELI : $28.89B PDD : $430.14B
Gross Profit (TTM) MELI : $12.86B PDD : $242.09B
EBITDA (TTM) MELI : $4.02B PDD : $104.34B

Returns By Period

In the year-to-date period, MELI achieves a -14.66% return, which is significantly lower than PDD's -10.24% return.

MELI

• 1D: -0.58%
• 1M: -3.27%
• YTD: -14.66%
• 6M: -21.04%
• 1Y: -10.24%
• 3Y*: 9.26%
• 5Y*: 2.62%
• 10Y*: 30.50%

PDD

• 1D: -0.39%
• 1M: -1.01%
• YTD: -10.24%
• 6M: -24.27%
• 1Y: -16.70%
• 3Y*: 10.27%
• 5Y*: -6.70%
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

Return for Risk

MELI vs. PDD — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

MELI

MELI Risk / Return Rank: 28
MELI Sharpe Ratio Rank: 29
MELI Sortino Ratio Rank: 26
MELI Omega Ratio Rank: 26
MELI Calmar Ratio Rank: 31
MELI Martin Ratio Rank: 30

PDD

PDD Risk / Return Rank: 22
PDD Sharpe Ratio Rank: 20
PDD Sortino Ratio Rank: 20
PDD Omega Ratio Rank: 20
PDD Calmar Ratio Rank: 26
PDD Martin Ratio Rank: 26

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

MELI vs. PDD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for MercadoLibre, Inc. (MELI) and Pinduoduo Inc. (PDD). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	MELI	PDD	Difference
Sharpe ratio Return per unit of total volatility	-0.26	-0.47	+0.21
Sortino ratio Return per unit of downside risk	-0.11	-0.43	+0.31
Omega ratio Gain probability vs. loss probability	0.99	0.94	+0.04
Calmar ratio Return relative to maximum drawdown	-0.31	-0.46	+0.15
Martin ratio Return relative to average drawdown	-0.68	-0.87	+0.19
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

MELI vs. PDD - Sharpe Ratio Comparison

The current MELI Sharpe Ratio is -0.26, which is higher than the PDD Sharpe Ratio of -0.47. The chart below compares the historical Sharpe Ratios of MELI and PDD, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	MELI	PDD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.26	-0.47	+0.21
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.05	-0.10	+0.15
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.63	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.46	0.27	+0.18

Correlation

The correlation between MELI and PDD is 0.38, which is considered to be low. This implies their price changes are not closely related. A low correlation is generally favorable for portfolio diversification, as it helps to reduce overall risk by spreading it across multiple assets with different performance patterns.

Dividends

MELI vs. PDD - Dividend Comparison

Neither MELI nor PDD has paid dividends to shareholders.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MELI MercadoLibre, Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.19%	0.38%	0.36%
PDD Pinduoduo Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Drawdowns

MELI vs. PDD - Drawdown Comparison

The maximum MELI drawdown since its inception was -89.49%, roughly equal to the maximum PDD drawdown of -87.41%. Use the drawdown chart below to compare losses from any high point for MELI and PDD.

Drawdown Indicators

	MELI	PDD	Difference
Max Drawdown Largest peak-to-trough decline	-89.49%	-87.41%	-2.08%
Max Drawdown (1Y) Largest decline over 1 year	-38.80%	-30.36%	-8.44%
Max Drawdown (5Y) Largest decline over 5 years	-68.64%	-82.77%	+14.13%
Max Drawdown (10Y) Largest decline over 10 years	-69.12%	—	—
Current Drawdown Current decline from peak	-34.23%	-49.82%	+15.59%
Average Drawdown Average peak-to-trough decline	-23.48%	-38.99%	+15.51%
Ulcer Index Depth and duration of drawdowns from previous peaks	17.58%	16.11%	+1.47%

Volatility

MELI vs. PDD - Volatility Comparison

MercadoLibre, Inc. (MELI) has a higher volatility of 11.74% compared to Pinduoduo Inc. (PDD) at 9.42%. This indicates that MELI's price experiences larger fluctuations and is considered to be riskier than PDD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MELI	PDD	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.74%	9.42%	+2.32%
Volatility (6M) Calculated over the trailing 6-month period	31.17%	21.72%	+9.45%
Volatility (1Y) Calculated over the trailing 1-year period	38.97%	35.82%	+3.15%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	49.47%	68.50%	-19.03%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	48.61%	69.95%	-21.34%

Financials

MELI vs. PDD - Profitability Comparison

The chart below illustrates the profitability comparison between MercadoLibre, Inc. and Pinduoduo Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

MELI - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, MercadoLibre, Inc. reported a gross profit of 3.78B and revenue of 8.76B. Therefore, the gross margin over that period was 43.2%.

PDD - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, Pinduoduo Inc. reported a gross profit of 67.81B and revenue of 122.20B. Therefore, the gross margin over that period was 55.5%.

MELI - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, MercadoLibre, Inc. reported an operating income of 889.00M and revenue of 8.76B, resulting in an operating margin of 10.2%.

PDD - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, Pinduoduo Inc. reported an operating income of 27.34B and revenue of 122.20B, resulting in an operating margin of 22.4%.

MELI - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, MercadoLibre, Inc. reported a net income of 559.00M and revenue of 8.76B, resulting in a net margin of 6.4%.

PDD - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, Pinduoduo Inc. reported a net income of 24.20B and revenue of 122.20B, resulting in a net margin of 19.8%.