Abel Eyes MercadoLibre as Berkshire Hathaway Seeks New Growth Opportunities

Warren Buffett's Berkshire Hathaway was an early investor in Amazon, but the conglomerate eventually sold its shares after just a few years. Now, with a similar company on the market, his successor Greg Abel may be eyeing MercadoLibre (MELI).

MercadoLibre is a Latin American e-commerce and fintech company that has been growing rapidly, despite facing significant economic and political risks in the region. However, its efforts to build competitive advantages have hurt profitability, with net income falling 16% year over year.

Despite this, MercadoLibre's growth potential remains high, with revenue increasing by 49% year over year in the first quarter of 2026. The company is also investing heavily in AI and logistics, which could help reduce loan losses and increase sales.

Berkshire Hathaway has prior experience with Latin American fintech through its investments in StoneCo and Nu Holdings, which could give Abel and his team a deeper understanding of MercadoLibre's business model. With the company trading at a 29% discount to its mid-2025 peak, it may be an attractive opportunity for Berkshire to invest.