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 (4/5)
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?
- The TTM operating margin was good at 25.9% for eBay.
- Net margins stood at a healthy 80.9% (average) for eBay in the Trailing 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?
- Sales declined by -5.1% annually over the last 5 years.
- eBay has a debt/equity ratio of 0.85, which is worse than the average in the Retail-Wholesale sector.
- Cash flow from operations is 0.1 times net income which is a negative signal.
- The company is trading at a price to sales multiple of 4.1, which is higher in comparison to the Internet Commerce industry average of 0.7, making EBAY stock expensive.