We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
EBay (EBAY) Gains As Market Dips: What You Should Know
Read MoreHide Full Article
eBay (EBAY - Free Report) closed the most recent trading day at $49.57, moving +0.9% from the previous trading session. This change outpaced the S&P 500's 0.44% loss on the day. Meanwhile, the Dow lost 0.62%, and the Nasdaq, a tech-heavy index, added 0.5%.
Coming into today, shares of the e-commerce company had gained 5.45% in the past month. In that same time, the Retail-Wholesale sector gained 2.09%, while the S&P 500 gained 2.71%.
Investors will be hoping for strength from EBAY as it approaches its next earnings release. In that report, analysts expect EBAY to post earnings of $0.84 per share. This would mark year-over-year growth of 3.7%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.71 billion, down 3.79% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.41 per share and revenue of $10.12 billion, which would represent changes of +20.49% and -6.31%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for EBAY. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. EBAY is holding a Zacks Rank of #4 (Sell) right now.
Digging into valuation, EBAY currently has a Forward P/E ratio of 14.42. Its industry sports an average Forward P/E of 50.9, so we one might conclude that EBAY is trading at a discount comparatively.
We can also see that EBAY currently has a PEG ratio of 1.08. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Commerce was holding an average PEG ratio of 2.42 at yesterday's closing price.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 187, which puts it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
EBay (EBAY) Gains As Market Dips: What You Should Know
eBay (EBAY - Free Report) closed the most recent trading day at $49.57, moving +0.9% from the previous trading session. This change outpaced the S&P 500's 0.44% loss on the day. Meanwhile, the Dow lost 0.62%, and the Nasdaq, a tech-heavy index, added 0.5%.
Coming into today, shares of the e-commerce company had gained 5.45% in the past month. In that same time, the Retail-Wholesale sector gained 2.09%, while the S&P 500 gained 2.71%.
Investors will be hoping for strength from EBAY as it approaches its next earnings release. In that report, analysts expect EBAY to post earnings of $0.84 per share. This would mark year-over-year growth of 3.7%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.71 billion, down 3.79% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.41 per share and revenue of $10.12 billion, which would represent changes of +20.49% and -6.31%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for EBAY. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. EBAY is holding a Zacks Rank of #4 (Sell) right now.
Digging into valuation, EBAY currently has a Forward P/E ratio of 14.42. Its industry sports an average Forward P/E of 50.9, so we one might conclude that EBAY is trading at a discount comparatively.
We can also see that EBAY currently has a PEG ratio of 1.08. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Commerce was holding an average PEG ratio of 2.42 at yesterday's closing price.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 187, which puts it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.