eBay (NASDAQ:EBAY) Reaches New 1-Year Low After Analyst Downgrade

eBay Inc. (NASDAQ:EBAY)’s stock price reached a new 52-week low during mid-day trading on Wednesday after Morgan Stanley lowered their price target on the stock from $34.00 to $32.00. Morgan Stanley currently has an underweight rating on the stock. eBay traded as low as $37.17 and last traded at $38.86, with a volume of 3845670 shares changing hands. The stock had previously closed at $40.77.

Several other research firms have also issued reports on EBAY. JPMorgan Chase & Co. cut their price target on eBay from $49.00 to $48.00 in a report on Thursday, July 27th. Benchmark cut their price target on eBay from $60.00 to $56.00 and set a “buy” rating for the company in a report on Wednesday. StockNews.com initiated coverage on eBay in a research note on Thursday, October 5th. They issued a “buy” rating for the company. Piper Sandler upped their price objective on eBay from $53.00 to $55.00 in a research note on Thursday, July 27th. Finally, Bank of America dropped their price objective on eBay from $54.00 to $52.00 in a research note on Thursday, July 27th. One investment analyst has rated the stock with a sell rating, twelve have assigned a hold rating and six have issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $48.25.

Insider Buying and Selling at eBay

In other eBay news, SVP Edward O. Garcia sold 1,181 shares of the company’s stock in a transaction that occurred on Thursday, August 17th. The stock was sold at an average price of $43.31, for a total transaction of $51,149.11. Following the sale, the senior vice president now directly owns 21,728 shares in the company, valued at $941,039.68. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. In other eBay news, SVP Cornelius Boone sold 4,891 shares of the company’s stock in a transaction that occurred on Tuesday, September 19th. The stock was sold at an average price of $43.63, for a total transaction of $213,394.33. Following the sale, the senior vice president now directly owns 49,845 shares in the company, valued at $2,174,737.35. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, SVP Edward O. Garcia sold 1,181 shares of the company’s stock in a transaction that occurred on Thursday, August 17th. The shares were sold at an average price of $43.31, for a total value of $51,149.11. Following the sale, the senior vice president now owns 21,728 shares in the company, valued at $941,039.68. The disclosure for this sale can be found here. Insiders have sold a total of 11,751 shares of company stock worth $510,785 over the last ninety days. Company insiders own 0.21% of the company’s stock.

Institutional Investors Weigh In On eBay

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. China Universal Asset Management Co. Ltd. raised its holdings in shares of eBay by 272.2% in the second quarter. China Universal Asset Management Co. Ltd. now owns 603 shares of the e-commerce company’s stock worth $27,000 after buying an additional 441 shares during the period. SkyView Investment Advisors LLC purchased a new stake in shares of eBay in the first quarter worth approximately $27,000. Union Savings Bank purchased a new stake in shares of eBay in the second quarter worth approximately $28,000. Almanack Investment Partners LLC. purchased a new stake in shares of eBay in the third quarter worth approximately $28,000. Finally, Stonebridge Capital Advisors LLC purchased a new stake in shares of eBay in the fourth quarter worth approximately $29,000. 85.87% of the stock is currently owned by hedge funds and other institutional investors.

eBay Stock Performance

The company has a debt-to-equity ratio of 1.47, a current ratio of 2.45 and a quick ratio of 2.45. The firm has a fifty day moving average price of $42.45 and a two-hundred day moving average price of $43.97. The stock has a market capitalization of $21.26 billion, a PE ratio of 16.17, a P/E/G ratio of 1.49 and a beta of 1.33.

eBay (NASDAQ:EBAY) last issued its quarterly earnings results on Tuesday, November 7th. The e-commerce company reported $1.03 earnings per share for the quarter, topping the consensus estimate of $1.00 by $0.03. eBay had a return on equity of 34.71% and a net margin of 13.49%. The firm had revenue of $2.50 billion for the quarter, compared to the consensus estimate of $2.51 billion. During the same period in the prior year, the business posted $0.82 earnings per share. The company’s revenue for the quarter was up 5.0% on a year-over-year basis. Research analysts expect that eBay Inc. will post 3.3 EPS for the current year.

eBay Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, December 15th. Investors of record on Friday, December 1st will be paid a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 2.50%. eBay’s dividend payout ratio (DPR) is currently 40.49%.

About eBay

eBay Inc operates marketplace platforms that connect buyers and sellers in the United States and internationally. The company's marketplace platform includes its online marketplace at ebay.com and the eBay suite of mobile apps. Its platforms enable users to list, buy, and sell various products. The company was founded in 1995 and is headquartered in San Jose, California.