EBAY - Embedded Expectations Analysis - 2019 07 26
eBay Inc. (EBAY:USA) is currently trading well below corporate averages relative to UAFRS-based (Uniform) Earnings, with a 12.2x Uniform P/E, implying bearish expectations for the firm. However, this is likely unwarranted given management's confidence about their Payments platform, customer growth, and cost control efforts, justifying outperformance going forward.Specifically, management is confident they are managing the marketplace to better control both the consumer and seller experience, and they are confident they are leveraging data on existing listings to inform product results. Moreover, management is confident they have maintained their focus on driving healthy customer growth and about the sustainability of growth in their Payments business and in their ongoing cost control efforts.
eBay is a global commerce provider, which includes its Marketplace, StubHub and Classifieds platforms. The company's Marketplace platforms include its online marketplace located at www.ebay.com, its localized counterparts and the eBay suite of mobile apps. The company's StubHub platforms include its online ticket platform located at www.stubhub.com, its localized counterparts and the StubHub mobile apps. These platforms connect fans with their favorite sporting events, shows and artists and enable them to buy and sell tickets whenever and wherever they want. The company's Classifieds platforms include a collection of brands such as mobile.de, Kijiji, Gumtree, Marktplaats, eBay Kleinanzeigen and others.
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