eBay Earnings Preview: What to Expect

Valued at a market cap of $42.1 billion, eBay Inc. (EBAY) is an e-commerce company that operates a global online marketplace connecting millions of buyers and sellers. The San Jose, California-based company earns revenue from listing fees, commissions on sales, advertising, and value-added services. It is scheduled to announce its fiscal Q3 earnings for 2025 in the near future. 

Ahead of this event, analysts expect this e-commerce company to report a profit of $1.09 per share, up 22.5% from $0.89 per share in the year-ago quarter. The company has surpassed Wall Street’s bottom-line estimates in three of the last four quarters, while missing on another occasion. In Q2, EBAY’s adjusted EPS of $1.37 exceeded the forecasted figure by 5.4%.  

For fiscal 2025, analysts expect EBAY to report a profit of $4.41 per share, representing a 12.2% increase from $3.93 per share in fiscal 2024. Furthermore, its EPS is expected to grow 12.5% year-over-year to $4.96 in fiscal 2026.

EBAY has rallied 37.1% over the past 52 weeks, outpacing both the S&P 500 Index's ($SPX) 17.4% return and the Consumer Discretionary Select Sector SPDR Fund’s (XLY) 20% uptick over the same time frame.

EBAY delivered impressive Q2 results on Jul. 30, prompting its shares to surge 18.3% in the following trading session. The company’s revenue advanced 6.1% year-over-year to $2.7 billion, surpassing consensus estimates by 2.6%. Moreover, its total Gross Merchandise Volume (GMV) also grew almost 6% from the year-ago quarter to $19.5 billion, reflecting steady marketplace growth. Additionally, its bottom line also looked strong, with adjusted operating margin expanding by 50 basis points, fueling a notable 16.1% year-over-year rise in its adjusted EPS to $1.37, which came in 5.4% ahead of analyst expectations. 

Wall Street analysts are moderately optimistic about EBAY’s stock, with a "Moderate Buy" rating overall. Among 33 analysts covering the stock, eight recommend "Strong Buy," two indicate "Moderate Buy," 21 suggest "Hold,” one advises a "Moderate Sell,” and one suggests a "Strong Sell” rating. While the company is trading above its mean price target of $90.13, its Street-high price target of $107 implies a 16.2% potential upside from the current levels.

On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.