eBay (NASDAQ: EBAY) shares gained over 7% in the extended trading hours yesterday after the e-commerce giant reported better-than-expected Q3 results. The company also provided a Q4 outlook that was in line with analysts’ expectations.
Adjusted earnings of $1.00 per share gained 11% year-over-year compared to earnings of $0.90 per share in the prior-year period. It was also ahead of the consensus estimate of $0.93 per share.
Revenues declined 5% year-over-year to $2.38 million but exceeded consensus estimates by $2.32 million. The revenue decline reflected an 11% decrease in Gross Merchandise Volumes to $17.7 billion.
For FY22, total revenue is expected to range between $9.71 and $9.79 billion, while adjusted EPS will range between $4.07 and $4.13.
For Q4, total revenue is expected to range between $2.42 – $2.50 billion, while the consensus is pegged at $2.49 billion. Adjusted EPS is expected to range between $1.03 and $1.09 versus consensus estimates of $1.04 per share.
Will EBAY Go Up?
As per TipRanks, EBAY stock’s average price target of $51.44 implies 35.16% upside potential from current levels. Analysts are cautiously optimistic about the stock and have a Moderate Buy consensus rating, based on eight Buys, 12 Holds, and one Sell.
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