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?
- The TTM operating margin was good at 25.9% for eBay.
- LTM Net margins were good at 80.9% for eBay.
- eBay's return on invested capital of 17.8% is good.
- The LTM ROE of 99% for eBay is attractive.
- The company has a good Free Cash Flow (FCF) margin of 20.2%.
Should you sell EBAY stock?
- Revenue declined at a CAGR of of the last 5 years.
- eBay has a debt/equity ratio of 0.99, which is worse than the average in the Retail-Wholesale sector.
- Cash flow from operations is low at 0.1 times the net income.
- The company is trading at a price to sales multiple of 4.2, which is overvalued in comparison to the Internet Commerce industry average multiple of 0.8.