The Benchmark Company Sees Investment Opportunity for eBay

In a report published Monday, The Benchmark Company analyst Daniel L. Kurnos reiterated a Buy rating and $68.00 price target on

. In the report, The Benchmark Company noted, “Shares of eBay (EBAY-Buy, PT $68) recently reached a 52-week low following several negative headlines, including Google's (GOOG-Not Rated) implementation of Panda 4.0 and the recent poaching of PayPal President David Marcus by Facebook (FB-Not Rated). At present levels, shares trade at 10x 2014E EV/EBITDA, at a discount to our ecommerce peer group at 11x, despite consistent mid-teens top-line growth, although increased investment spending and fee cuts along with further pressure from large merchant mix, losses on foreign currency hedges, and lower cross-currency transaction growth is expected to result in modest margin compression and just 10% EBITDA growth in 2014. However, with some tailwinds heading into 2015 and potential upside from offline expansion, we believe eBay could record 15% top- and bottom-line growth in 2015.” eBay closed on Friday at $49.27.