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EBay (EBAY) Gains But Lags Market: What You Should Know
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eBay (EBAY - Free Report) closed the most recent trading day at $48.12, moving +0.48% from the previous trading session. This move lagged the S&P 500's daily gain of 1.9%. Meanwhile, the Dow gained 2.05%, and the Nasdaq, a tech-heavy index, added 1.75%.
Investors will be hoping for strength from EBAY as it approaches its next earnings release. On that day, EBAY is projected to report earnings of $1.03 per share, which would represent year-over-year growth of 51.47%. Our most recent consensus estimate is calling for quarterly revenue of $2.79 billion, up 3.71% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.45 per share and revenue of $10.22 billion, which would represent changes of +21.91% and -5.34%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for EBAY. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 has moved 11.88% higher within the past month. EBAY is currently sporting a Zacks Rank of #1 (Strong Buy).
In terms of valuation, EBAY is currently trading at a Forward P/E ratio of 13.9. For comparison, its industry has an average Forward P/E of 48.09, which means EBAY is trading at a discount to the group.
Also, we should mention that EBAY has a PEG ratio of 1.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Commerce was holding an average PEG ratio of 3.07 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 57, which puts it in the top 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow EBAY in the coming trading sessions, be sure to utilize Zacks.com.
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EBay (EBAY) Gains But Lags Market: What You Should Know
eBay (EBAY - Free Report) closed the most recent trading day at $48.12, moving +0.48% from the previous trading session. This move lagged the S&P 500's daily gain of 1.9%. Meanwhile, the Dow gained 2.05%, and the Nasdaq, a tech-heavy index, added 1.75%.
Investors will be hoping for strength from EBAY as it approaches its next earnings release. On that day, EBAY is projected to report earnings of $1.03 per share, which would represent year-over-year growth of 51.47%. Our most recent consensus estimate is calling for quarterly revenue of $2.79 billion, up 3.71% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.45 per share and revenue of $10.22 billion, which would represent changes of +21.91% and -5.34%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for EBAY. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 has moved 11.88% higher within the past month. EBAY is currently sporting a Zacks Rank of #1 (Strong Buy).
In terms of valuation, EBAY is currently trading at a Forward P/E ratio of 13.9. For comparison, its industry has an average Forward P/E of 48.09, which means EBAY is trading at a discount to the group.
Also, we should mention that EBAY has a PEG ratio of 1.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Commerce was holding an average PEG ratio of 3.07 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 57, which puts it in the top 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow EBAY in the coming trading sessions, be sure to utilize Zacks.com.