MercadoLibre is undervalued relative to Nu Holdings; its premium is justified by a stronger moat, more tailwinds, and greater diversification.

Marcato Libre has its own fintech business that is largely the same as Newbank. But I think that Marcato Libre actually has some competitive advantages because it has even more data on its customers because a lot of its customers also use its e-commerce platform. So Marcato Libre can see what its customers are spending money on on the e-commerce platform as well and get even more insights and data there. Additionally, Marcato Libre's fintech business did $15 billion in revenue in the trailing 12 months, which puts it roughly two quarters behind where New Bank is. Or in other words, it's almost the same size as New Bank today. But Marcott Libresy's entire business is valued at around 100 billion in the stock market right now. So for an extra $30 billion I am getting roughly the same size fintech business maybe delayed by about 6 months. The largest e-commerce platform in Latin America a massive media and subscriptions business and also a massive highly profitable and rapidly growing advertising business. Again all of that for an extra roughly $30 billion. So I think that Marcado Libre has a little bit of a stronger moat, much more tailwinds and just a much more diversified business too. So I think that the premium for Marcato Libre is more than justified and I think that Marcato Libre is even cheaper in the market today than New Bank.