Please ensure Javascript is enabled for purposes of website accessibility

2 Numbers eBay Stock Investors Should Know Ahead of Earnings

By Tim Beyers - Apr 14, 2013 at 12:45PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

These metrics could make the difference between a pop and a drop.

If PayPal keeps winning, so, too, will eBay (EBAY 4.06%) stock investors.

What can we expect from the payments platform when the auctioneer reports earnings on April 17? Outsized growth seems likely. Despite growing competition from Square, Google (GOOGL 1.77%), and even Groupon (GRPN 1.35%), PayPal handled 700 million payments transactions and served 123 million active accounts in the fourth quarter. Investors should be looking for meaningful growth in both figures in the Q1 report.

For its part, Wall Street is expecting first-quarter revenue to grow 14.9% to $3.76 billion, resulting in $0.62 of profit per share. The company has marginally beaten earnings estimates in each of the past four quarters, according to data supplied by Yahoo! Finance. eBay stock is up more than 61% over that period.

Would a bigger beat help eBay stock rally further? Tim Beyers of Motley Fool Rule Breakers and Motley Fool Supernova weighs in on this question in the video below. Please watch and then leave a comment to let us know what you whether you would buy, sell, or short eBay stock at current prices.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

eBay Inc. Stock Quote
eBay Inc.
$46.92 (4.06%) $1.83
Alphabet Inc. Stock Quote
Alphabet Inc.
$2,329.46 (1.77%) $40.56
Groupon, Inc. Stock Quote
Groupon, Inc.
$14.31 (1.35%) $0.19

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/17/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.