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Monday, May 26, 2014

Should You Buy Ebay Stocks?

It depends on many factors:

  • Yes
    • eBay has strong Financial Statement
    •  eBay has a lot of cash 
    •  With its stock price at $52.02, lower than its Fair Value of $63.00,  it looks like a bargain. 
  •  But
    • Are you investing for the short-term or the long term?
    • Since 2013 the stock price has been oscillating between 50 and 59.
    • Its last reported net income in March, 2014 was -$.2,326 Million, but that was due to a $3,199 Million in provision for income taxes.
    • A bubble is appearing in the economy at large that will inevitable effect the stock.
    • Is the company business model still relevant today?
    • What are the top management strategies?
eBay 5Yr Chart with Trend-lines

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