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5 Reasons To Remain Buyers Of eBay

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5 Reasons To Remain Buyers Of eBay
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EBay Inc (NASDAQ: EBAY) reported a relatively in-line earning report, but disappointing guidance and tougher comps sent shares falling nearly 4 percent.

However, Citi analyst Mark May does not believe the move was justified as he came “away incrementally positive on shares of eBay.” May maintains his Market Perform rating on eBay.

5 Reasons To Still Believe In eBay

    1. EBay’s plan to ramp up the integration in the second half of 2017, should lead to accelerating GMC growth.
    2. EBay’s new homepage, which is currently only live in 8 key markets, is seeing lower bounce rates and higher engagement.
    3. EBay has beat the high-end of its revenue guidance in 5 of the last quarters.
    4. EBay currently has a very attractive valuation according to May.
    5. EBay offers shareholders with strategic M&A value.

Despite these factors, May highlighted eBay is still not a Buy. “While we are incrementally positive on eBay given the transition to Structured Data ahead of this year’s holiday season and recent product updates, such as its new homepage, it remains relatively early in its turn-around and we believe the risk/reward in shares is balanced until we can see consistent growth from these product changes.”

To dive deeper into eBay's earning metrics and see the latest exclusive financial news visit the Benzinga Pro news wire. 

Latest Ratings for EBAY

DateFirmActionFromTo
Feb 2018BMO CapitalMaintainsOutperformOutperform
Feb 2018Bank of AmericaMaintainsBuyBuy
Feb 2018Stifel NicolausMaintainsHoldHold

View More Analyst Ratings for EBAY
View the Latest Analyst Ratings

Posted-In: Citi Mark MayAnalyst Color Earnings News Reiteration Analyst Ratings Best of Benzinga

 

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