eBay Earnings Meet Expectations, Guidance Weak
Shares of eBay (NASDAQ: EBAY) initially dropped in after-hours trading on Wednesday after the company posted solid fourth quarter results, but offered weak guidance.
eBay guided first quarter EPS in the range of $0.60-0.62 -- analysts had been expecting about $0.63. The company said it anticipated first quarter revenue in the range of $3.65-3.75 billion, less than the consensus analyst estimate of $3.80 billion.
Full-year guidance was also a bit weak, but not as poor as the first quarter. eBay guided fiscal year EPS in the range of $2.70-2.75, analysts had been looking for $2.74. The company said it expected 2013 sales to come in around $16-16.4 billion, the consensus estimate called for $16.3 billion.
For the fourth quarter, eBay posted an earnings per share figure of $0.70, only slightly better than the $0.69 estimate; revenue came in at $4 billion, more than the $3.97 billion that was expected.
Shares of eBay were down as much as 1.5 percent after-hours on Wednesday, but subsequently bounced back.
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