PGY vs. MELI

Last updated Jun 3, 2026

PGY (Pagaya Technologies Ltd.) and MELI (MercadoLibre, Inc.) are both stocks. PGY operates in Software - Infrastructure (Technology), while MELI operates in Internet Retail (Consumer Cyclical). Over the past 3 years, PGY returned 2.59%/yr vs 9.60%/yr for MELI. At a 0.30 correlation, their price movements are largely independent.

Performance

PGY vs. MELI - Performance Comparison

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

Returns By Period

In the year-to-date period, PGY achieves a -26.84% return, which is significantly lower than MELI's -16.95% return.

PGY

• 1D: -2.24%
• 1M: 7.37%
• YTD: -26.84%
• 6M: -34.15%
• 1Y: -8.55%
• 3Y*: 2.59%
• 5Y*: —
• 10Y*: —

MELI

• 1D: -3.36%
• 1M: -9.58%
• YTD: -16.95%
• 6M: -20.94%
• 1Y: -35.50%
• 3Y*: 9.60%
• 5Y*: 4.79%
• 10Y*: 28.62%

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

PGY vs. MELI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
PGY Pagaya Technologies Ltd.	-26.84%	124.97%	-43.90%	11.29%	-79.61%
MELI MercadoLibre, Inc.	-16.95%	18.46%	8.20%	85.71%	21.13%

Correlation

The correlation between PGY and MELI is 0.29, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.29
Correlation (3Y) Calculated over the trailing 3-year period	0.31
Correlation (All Time) Calculated using the full available price history since Jun 24, 2022	0.30

Fundamentals

Market Cap PGY : $1.48B MELI : $84.81B
EPS PGY : $1.06 MELI : $37.87
PE Ratio PGY : 14.38 MELI : 44.17
PS Ratio PGY : 1.09 MELI : 2.76
PB Ratio PGY : 2.79 MELI : 11.65
Total Revenue (TTM) PGY : $1.30B MELI : $30.67B
Gross Profit (TTM) PGY : $396.55M MELI : $13.95B
EBITDA (TTM) PGY : $180.28M MELI : $3.11B

Return for Risk

PGY vs. MELI — Risk / Return Rank

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

PGY

PGY Risk / Return Rank: 37
PGY Sharpe Ratio Rank: 36
PGY Sortino Ratio Rank: 39
PGY Omega Ratio Rank: 38
PGY Calmar Ratio Rank: 37
PGY Martin Ratio Rank: 38

MELI

MELI Risk / Return Rank: 7
MELI Sharpe Ratio Rank: 6
MELI Sortino Ratio Rank: 9
MELI Omega Ratio Rank: 8
MELI Calmar Ratio Rank: 8
MELI Martin Ratio Rank: 4

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.

PGY vs. MELI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Pagaya Technologies Ltd. (PGY) and MercadoLibre, Inc. (MELI). 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.

	PGY	MELI	Difference
Sharpe ratio Return per unit of total volatility	-0.11	-0.90	+0.79
Sortino ratio Return per unit of downside risk	0.41	-1.16	+1.57
Omega ratio Gain probability vs. loss probability	1.05	0.85	+0.20
Calmar ratio Return relative to maximum drawdown	-0.09	-0.85	+0.76
Martin ratio Return relative to average drawdown	-0.15	-1.56	+1.41
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PGY vs. MELI - Sharpe Ratio Comparison

The current PGY Sharpe Ratio is -0.11, which is higher than the MELI Sharpe Ratio of -0.90. The chart below compares the historical Sharpe Ratios of PGY and MELI, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	PGY	MELI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.11	-0.90	+0.79
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.10	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.59	—
Sharpe Ratio (All Time) Calculated using the full available price history	-0.23	0.45	-0.68

Drawdowns

PGY vs. MELI - Drawdown Comparison

The maximum PGY drawdown since its inception was -98.09%, which is greater than MELI's maximum drawdown of -89.49%. Use the drawdown chart below to compare losses from any high point for PGY and MELI.

Drawdown Indicators

	PGY	MELI	Difference
Max Drawdown Largest peak-to-trough decline	-98.09%	-89.49%	-8.60%
Max Drawdown (1Y) Largest decline over 1 year	-75.71%	-40.82%	-34.89%
Max Drawdown (3Y) Largest decline over 3 years	-75.71%	-40.82%	-34.89%
Max Drawdown (5Y) Largest decline over 5 years	—	-68.64%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-69.12%	—
Current Drawdown Current decline from peak	-95.75%	-36.00%	-59.75%
Average Drawdown Average peak-to-trough decline	-91.98%	-23.56%	-68.42%
Ulcer Index Depth and duration of drawdowns from previous peaks	48.07%	22.28%	+25.79%

Volatility

PGY vs. MELI - Volatility Comparison

Pagaya Technologies Ltd. (PGY) and MercadoLibre, Inc. (MELI) have volatilities of 18.02% and 17.24%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PGY	MELI	Difference
Volatility (1M) Calculated over the trailing 1-month period	18.02%	17.24%	+0.78%
Volatility (6M) Calculated over the trailing 6-month period	54.35%	30.17%	+24.18%
Volatility (1Y) Calculated over the trailing 1-year period	78.62%	39.48%	+39.14%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	144.85%	49.68%	+95.17%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	144.85%	48.88%	+95.97%

Dividends

PGY vs. MELI - Dividend Comparison

Neither PGY nor MELI has paid dividends to shareholders.

Position	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%
PGY Pagaya Technologies Ltd.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Financials

PGY vs. MELI - Profitability Comparison

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

PGY - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Pagaya Technologies Ltd. reported a gross profit of 0.00 and revenue of 317.94M. Therefore, the gross margin over that period was 0.0%.

MELI - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, MercadoLibre, Inc. reported a gross profit of 3.86B and revenue of 7.72B. Therefore, the gross margin over that period was 50.1%.

PGY - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Pagaya Technologies Ltd. reported an operating income of 80.01M and revenue of 317.94M, resulting in an operating margin of 25.2%.

MELI - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, MercadoLibre, Inc. reported an operating income of 611.00M and revenue of 7.72B, resulting in an operating margin of 7.9%.

PGY - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Pagaya Technologies Ltd. reported a net income of 24.69M and revenue of 317.94M, resulting in a net margin of 7.8%.

MELI - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, MercadoLibre, Inc. reported a net income of 417.00M and revenue of 7.72B, resulting in a net margin of 5.4%.

Frequently Asked Questions

Can I hold both PGY and MELI in my portfolio?

PGY and MELI have a correlation of 0.29, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PGY or MELI?

PGY has higher volatility (18.02%) compared to MELI (17.24%). In terms of maximum drawdown, PGY dropped -98.09% vs MELI's -89.49%.

Which has better risk-adjusted returns?

PGY currently has the higher Sharpe Ratio (-0.11 vs -0.90), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.