2 Stocks Down 26% and 68% to Buy Now and Hold for the Next Decade
2026-08-28 14:21
•John Ballard •The Motley Fool
•••• •• Axe Cap view
Two Global E-Commerce Stocks Worth Watching for the Long Haul
MercadoLibre and Coupang are down big but well-positioned to grow over the next decade.
MercadoLibre and Coupang are trading at steep discounts despite solid growth drivers—a rare setup in the current market. MercadoLibre’s 43% year-on-year revenue growth and integrated fintech-plus-marketplace model are clear competitive advantages. Trading at 2.8 times sales versus the historic 4.6, it offers a margin of safety alongside growth. Coupang’s 68% drop from the peak reflects concerns following a data breach and slowing expansion. However, with nearly 99% same-day delivery in South Korea and loyal customers spending 10 times more, it looks poised to bounce back. Both stocks lack direct South African equivalents, pointing to USD/ZAR as a better reflection of forex risk if you consider exposure. The rand’s recent relative stability eases worries but a shock in emerging markets or local risk sentiment could hurt the shares. Patience will be key—this is a long-term bet on e-commerce dominance in emerging markets. this is just our opinion and not financial advice
We suggest watching MercadoLibre for selective accumulation and considering Coupang as a high-conviction, patient hold, sizing positions cautiously given recovery uncertainty.
- MELI
- CPNG
- USD/ZAR
- Emerging market volatility impacting USD/ZAR
- E-commerce competitive pressures or execution risks
5/10
MercadoLibre and Coupang, two dominant e-commerce platforms in Latin America and South Korea respectively, have experienced significant stock price declines but maintain strong competitive advantages and growth potential. MercadoLibre is down 26% despite posting 43% revenue growth, while Coupang is down 68% from its 2021 peak but still growing at 10% year-over-year. Both stocks are trading at attractive valuations and are positioned for long-term compounding returns.
Our take is based on reporting first published by The Motley Fool.