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3 Top E-Commerce Stocks for 2021 - The Motley Fool
Jan 17, 2021 1 min, 17 secs
Read on to see why they think Amazon (NASDAQ:AMZN), Etsy (NASDAQ:ETSY), and MercadoLibre (NASDAQ:MELI) are poised to crush the market. .

Keith Noonan (Amazon): Naming Amazon as a top e-commerce stock won't win points for originality.

In addition to its industry-shaping e-commerce service, Amazon leads the cloud computing market. The company is also building a fast-growing position in an industry that's parallel to online retail: digital advertising.

There's considerable overlap in the technology and data required to drive e-commerce, cloud computing, and digital advertising businesses forward, and that makes Amazon stronger as a whole.

The company's already massive size means it will have a harder time delivering relative growth compared to smaller players in the space, but Amazon stands out as a dependable industry leader that offers an attractive risk-reward dynamic for growth investors.

Although it might seem ubiquitous, at 15% of retail sales the United States, which has 90% internet penetration, is still in the early stages of e-commerce.

MercadoLibre stands to gain from increased internet penetration leading to further adoption of e-commerce and continues to grow unique active users at a rapid clip, reporting a 92% increase in the third quarter.

It's not often you find companies with two highly scalable businesses, but that's what MercadoLibre has with its e-commerce marketplace and digital payment solutions

Additionally, with MercadoLibre you have multi-decade growth drivers as internet penetration will boost e-commerce and the number of underbanked and unbanked citizens will boost demand for its digital payments solutions

Perhaps it's time to call MercadoLibre the "Amazon and PayPal of Latin America."

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