eBay stock: buy or sell?

EBAY stock price: $38.70 -3.25% At close on August 23rd, 2019

Updated on:
August 23rd, 2019

2

EBay shares slipped -3.25% to $38.70 today.

eBay Inc. operates commerce platforms that connect various buyers and sellers worldwide. Its platforms enable sellers to organize and offer their inventory for sale; and buyers to find and purchase it virtually.

Should I buy eBay stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Following a trading plan helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

Currently, eBay stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean EBAY will fall in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is eBay stock a buy?

Banks and financial institutions publish stock ratings everyday. At Stocks2.com, we detected 15 ratings published for EBAY stock in the last month.

The general sentiment of these ratings is bullish for EBAY stock, with 7 positive ratings.
Is EBAY a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-7-29KeyCorpn/aOverweight
2019-7-18Raymond Jamesn/aOutperform
2019-7-18Piper Jaffray Companiesn/aNeutral
2019-7-18DA DavidsonBuyReduce
2019-7-18Credit Suisse Groupn/aOutperform
2019-7-18Citigroupn/aBuy
2019-7-18Canaccord Genuityn/aHold
2019-7-18AegisBuyBuy
2019-7-16SunTrust Banksn/aHold
2019-7-15Morgan Stanleyn/aEqual Weight
2019-4-24UBS GroupBuyBuy
2019-4-24Piper Jaffray Companiesn/aNeutral
2019-4-24Morgan Stanleyn/aEqual Weight
2019-4-24JPMorgan Chase & Co.n/aNeutral
2019-4-24Deutsche BankBuyBuy

eBay stock analysis

Daily outlook

EBay shares slipped -3.25% to $38.70 today.

Shares of eBay slipped a shocking -3.25% and closed at $38.70. On April, SMA100d and SMA200d crossed up triggering a rise of 6.97%. On June EBAY price bounced up over the SMA of 100 days demonstrating to be a significant support for this stock.

EBAY stock chart (daily)

Weekly outlook

EBay ended this week at $38.70 and eased a fatal -3.30%. For 4 weeks in a row, price slid and lost a -6.29%.

Price pattern shows an uptrend with two rising tops and bottoms, and now trading upwards to the $42.00 resistance. Early April, SMA20w and SMA40w crossed up triggering a rise of 4.59%. Since late January when EBAY stock price broke up the SMA40w line, it gained $7.94 (25.81%).

EBAY stock chart (weekly)

eBay stock price history

eBay IPO was on September 24th, 1998 at $0.93 per share1. Since then, EBAY stock grew a 4,061.30%, with a yearly average of 203.10%. If you had invested right after EBAY's IPO a $1,000 in eBay stock in 1998, it would worth $40,613.00 today.

1: Adjusted price after possible price splits or reverse-splits.

eBay stock historical price chart

EBAY stock reached 52-week highs on July/18 at $42.00, and all-time highs 2018-02-01 with a price of 46.63.

eBay stock price target is $41.60

Nobody can reliably foresee how stock prices may evolve in the future. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. You should not follow the analysts' EBAY stock price predictions in the hope that they will be met as they may be wrong and not met. For the last 30 days we found 15 price forecasts for EBAY stock:
EBAY stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-7-29KeyCorpRaises Target$45.00$47.004.4%
2019-7-18Raymond JamesRaises Target$44.00$45.002.3%
2019-7-18Piper Jaffray CompaniesRaises Target$35.00$38.008.6%
2019-7-18DA DavidsonRaises Targetn/a$47.00-
2019-7-18Credit Suisse GroupReiterates$43.00$49.0014%
2019-7-18CitigroupRaises Target$40.00$48.0020%
2019-7-18Canaccord GenuityRaises Target$38.00$40.005.3%
2019-7-18AegisReiterates$43.00$45.004.7%
2019-7-16SunTrust BanksReiteratesn/a$36.00-
2019-7-15Morgan StanleyRaises Target$34.50$36.004.3%
2019-4-24UBS GroupRaises Target$40.00$42.005%
2019-4-24Piper Jaffray CompaniesRaises Target$32.00$35.009.4%
2019-4-24Morgan StanleyRaises Target$33.00$34.504.5%
2019-4-24JPMorgan Chase & Co.Raises Target$36.00$39.008.3%
2019-4-24Deutsche BankRaises Target$39.00$42.007.7%
(in average)$38.70$41.607.0%
The price target for eBay stock is $41.60, moving in a range between $49.00 and $34.50. In average, analysts' outlook on EBAY price forecast is positive, increasing the target by a 7.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

After posting its last earnings report on April, eBay raised a nice 5.94%. Unfortunately, reported EPS is not yet available in our database.
EBAY earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.02n/a
2017-Q32017-10-180.480.480.0%
2017-Q42018-01-310.590.590.0%
2018-Q12018-04-250.440.41-6.8%
2018-Q22018-07-180.390.390.0%
2018-Q32018-10-300.430.430.0%
2018-Q42019-01-290.560.7126.8%
2019-Q12019-04-230.63n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, eBay annual turnover escalated a shining 8.25% to $10,746.00 million USD from $9,927.00 marked in 2017. When comparing 2018 vs 2017, in line, profit margin (that is, the net income divided by revenues) boosted a 33.79% to 23.54%.

To have an updated picture of the financial situation of eBay, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual eBay TTM sales up to March 2019 were $10,809.00 and income was $2,641.00 M dollars. When comparing this TTM figures with the last reported annuality, we can review eBay business evolution since December 2018: Annual turnover up to March, compared to lastest yearly report, stayed stable a tight 0.59%. Regarding profit margin, eBay remained stable 0.89% to 23.54%

EBAY annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$16,050 M-$2,860 M17.8%-
2014$17,902 M11.54%$46 M0.3%-98.39%
2015$8,592 M-52.01%$1,725 M20.1%3,650.00%
2016$8,979 M4.50%$7,266 M80.9%321.22%
2017$9,927 M10.56%$-1,017.00 M-10.2%-114.00%
2018$10,746 M8.25%$2,530 M23.5%-348.77%
TTM $10,809 M0.59%$2,641 M24.4%4.39%

Quarterly financial results

EBay posted $2,643.00 million in revenues for 2019-Q1, a -8.13% less compared to previous quarter. Reported quarter income marked $518.00 M with a profit margin of 19.60%. Profit margin eased a -6.82% compared to previous quarter when profit margin was 26.42%. When comparing revenues to same quarter last year, eBay sales marked a slightly good increase and inched a 2.44%.
EBAY quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$2,330 M-$27 M1.2%-
2017-Q3$2,409 M3.39%$523 M21.7%1,837.04%
2017-Q4$2,347 M-2.57%$-2,600 M-110.8%-597.13%
2018-Q1$2,580 M9.93%$407 M15.8%-115.65%
2018-Q2$2,640 M2.33%$642 M24.3%57.74%
2018-Q3$2,649 M0.34%$721 M27.2%12.31%
2018-Q4$2,877 M8.61%$760 M26.4%5.41%
2019-Q1$2,643 M-8.13%$518 M19.6%-31.84%

eBay ownership

When you are planning to invest in shares of a stock, it's always worth to check its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For eBay, 5.29% of all outstanding shares are owned by its staff.

Bearish positions for EBAY stock account 0.00%, no big difference from last month.

For a better understanding, the next table shows ownership data compared to other related stocks:

EBAYAMZNCOSTEXPEFISV
Market cap$33.7 B$888.4 B$123.1 B$17.5 B$44.3 B
Total shares871.5 M492.1 M439.8 M137.4 M409.4 M
Float shares790.0 M436.0 M432.9 M123.0 M327.5 M
  - Institutional holdings (%)88.0%57.1%73.5%89.1%91.1%
  - Insider holdings (%)5.3%16.1%0.5%13.0%0.3%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

eBay summary

Friday, August 23rd, 2019
Open$39.78
Close$38.70
Day range$38.55 - $39.79
Previous close$40.00
Session gain-3.25%
Average true range$0.97
50d mov avg$40.04
100d mov avg$38.55
200d mov avg$35.43
Daily patternlt11c
Weekly pattern lb02a

eBay performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. For eBay, the benchmark is made against Amazon.com, Costco Wholesale, Expedia, Fiserv, Alphabet, Groupon, MercadoLibre, Microsoft and Overstock.com.
Stock3m6m12m
EBAYeBay7.53%4.00%12.93%
AMZNAmazon.com-0.97%10.67%-5.24%
COSTCostco Wholesale13.19%29.77%22.28%
EXPEExpedia10.29%1.22%-1.04%
FISVFiserv24.46%27.20%35.15%
GOOGLAlphabet4.65%6.71%-3.66%
GRPNGroupon-29.63%-26.49%-45.59%
MELIMercadoLibre4.53%65.59%68.53%
MSFTMicrosoft6.02%21.05%24.99%
OSTKOverstock.com97.94%6.18%-31.09%

eBay competitors

One check before trading any stock is to have a look a list of its competitors, in this case for eBay. We chose 9 companies as eBay competitors as they are in the same industry or have similar market objectives.

Latest eBay stock news