In the latest trading session, eBay (EBAY - Free Report) closed at $48.61, marking a -0.06% move from the previous day. This change was narrower than the S&P 500's daily loss of 1.12%. At the same time, the Dow lost 0.88%, and the tech-heavy Nasdaq lost 1.07%.
Heading into today, shares of the e-commerce company had lost 15.64% over the past month, lagging the Retail-Wholesale sector's loss of 1.2% and the S&P 500's loss of 0.59% in that time.
Wall Street will be looking for positivity from EBAY as it approaches its next earnings report date. The company is expected to report EPS of $0.86, up 28.36% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.70 billion, up 2.07% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.58 per share and revenue of $10.78 billion. These totals would mark changes of +26.5% and -0.22%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for EBAY. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. EBAY currently has a Zacks Rank of #3 (Hold).
In terms of valuation, EBAY is currently trading at a Forward P/E ratio of 13.58. Its industry sports an average Forward P/E of 47.74, so we one might conclude that EBAY is trading at a discount comparatively.
We can also see that EBAY currently has a PEG ratio of 1.08. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. EBAY's industry had an average PEG ratio of 3.13 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 96, which puts it in the top 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.