If Mercado Libre stops pulling it's levers, profitability will rise but growth will also slow down, which is ok, but should also be considered. Some reinvestment will always be needed to fend off competition.

I agree that re-investment should be factored in, but saying it is priced at 10x OCF is not an accurate representation of its valuation. Meli is a mixed business, there are many pitfalls in using cash flows to value banks.

I think making adjustments to net income might be a better approach, coming up with an Owners Earnings metric.