Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of online auctioneer eBay (Nasdaq: EBAY ) surged more than 10% to a new 52-week high of $28.44 in early trading, after the company announced better-than-expected revenue and earnings.
So What: On a non-GAAP basis, revenue improved 10% to $2.25 billion. Per-share net income rose 14% to $0.40. Wall Street was expecting $0.37 on $2.18 billion in revenue.
Now What: Looking ahead, management predicted $0.45 to $0.48 per share in fourth-quarter earnings, as calculated on a non-GAAP basis; that tops the Street's consensus of $0.44. The upbeat outlook suggests that earlier pessimism was overdone, and that competitors Overstock.com (Nasdaq: OSTK ) and Amazon.com (Nasdaq: OSTK ) still have their work cut out for them.
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