eBay Stock Analysis (NASDAQ:EBAY)
eBay Analysis Video
View eBay stock analysis video. This is our EBAY analyst opinion covering the buy and sell arguments for EBAY stock.
eBay Inc Stock Rating (3.7/5)
Our eBay stock opinion is based on fundamentals of the company. This eBay stock analysis is based on latest Q4 earnings for 2016. The stock price analysis takes into account a company's valuation metrics.
Should you buy EBAY stock?
- eBay's average operating margin of 25.9% was exceptional.
- Net margins came in at average 80.9% for eBay over the last twelve months.
- eBay has an attractive ROIC (Return on Invested Capital) of 17.8%
- The LTM ROE of 99% for eBay is attractive.
- The company has a healthy free cash flow margin of 20.2%.
Should you sell EBAY stock?
- Revenue declined at a CAGR of of the last 5 years.
- With a debt/equity ratio of 0.99, eBay is highly leveraged in comparison to Retail-Wholesale peers.
- Cash flow from operations is 0.1 times net income which is a negative signal.
- EBAY stock is trading at a PS multiple of 4.2, which is a negative when compared to the Internet Commerce industry average multiple of 0.8.