eBay's negative sentiment continues


I started writing about eBay for Blogging Stocks in mid-June, only a month and half ago, when eBay was still over $30 a share. It's now trading under $24.

I kept noticing this downtrend, aware of investors concerns, but never 100% sure why the sentiment was so negative. Especially after Q2 earnings report. I thought that at most, and especially after the store listing fee increase, it should be treated as a neutral investment. A wait-and-see attitude, if you will. After all, isn't that fee increase a good move, promising the return to auction format, and hence more volume growth? (That would be despite the wrath of sellers apparent in the comments to this post).

In any event, last week I couldn't keep up with the news as we left Northern Israel to spend a quiet week south of the war zone and my Internet access was rather limited. However, from all I managed to gather today, sentiment continues to be negative despite analysts noting improving fundamentals.

For example, last week, Caris and Company analyst Tim Boyd told investors he thinks Q2 was a trough and sees strong listing growth of 40% year-over-year.

Bear Stearns, as Amey Stone reported last week, also believes most of the risks are already reflected in the stock price and has an outperform rating on eBay with a $33 price target, but recommending it for the long-term patient investors.

On a positive note, I read on the UK Times Online today that Britons spend "more than ever before online, particularly on auction websites such as eBay."

Reader Comments (Page 2 of 2)

Symbol Lookup
IndexesChangePrice
DJIA-33.4512,598.55
NASDAQ-19.722,874.04
S&P 500-5.861,324.80

Last updated: May 16, 2012: 07:14 PM

Hot Stocks

General Electric

19.00+0.60(+3.26)

Alcoa

8.49-0.22(-2.53)

Apple Inc

546.075-7.095(-1.28)

Google Inc 'A'

628.93+17.82(+2.92)

Bank of America

7.11-0.19(-2.60)

Wal-Mart Stores

59.19-0.16(-0.27)

Exxon Mobil Corp

82.17+0.38(+0.46)

Ford

10.16+0.01(+0.10)

Citigroup

26.92-0.87(-3.13)

IBM

199.73+0.69(+0.35)

Yahoo

15.28-0.12(-0.78)

Starbucks

53.02-0.32(-0.60)

Microsoft

29.90-0.31(-1.03)

Home Depot

48.77+0.10(+0.21)

DailyFinance Headlines

Benzinga Headlines

TheFlyOnTheWall.com Headlines

BioHealth Investor Headlines

WalletPop Headlines

DailyFinance BlackBerry App

My Portfolios

Track your stocks here!

Find out why more people track their portfolios on AOL Money & Finance then anywhere else.

BloggingStocks Partners

More from AOL Money & Finance

BioHealth Investor Headlines

Page Loaded in 1337210061056 ms.