| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 65.10 | -17 |
| Intrinsic value (DCF) | 31.17 | -60 |
| Graham-Dodd Method | 5.10 | -93 |
| Graham Formula | 33.30 | -57 |
eBay Inc. (EBA.DE) is a global e-commerce leader operating a dynamic marketplace platform that connects buyers and sellers across the United States and internationally. Founded in 1995 and headquartered in San Jose, California, eBay's core platform includes its flagship website ebay.com and a suite of mobile apps, facilitating transactions through various online, mobile, and offline channels. The company serves a diverse clientele, including retailers, distributors, liquidators, and auctioneers, offering a broad range of products from collectibles to everyday essentials. As a pioneer in online auctions and fixed-price sales, eBay remains a key player in the Specialty Retail sector under the Consumer Cyclical category. With a market capitalization of approximately €29.3 billion, eBay continues to innovate in digital commerce, leveraging its extensive user base and robust payment solutions to maintain its competitive edge in the rapidly evolving e-commerce landscape.
eBay presents a mixed investment profile with both strengths and risks. The company boasts a strong brand, global reach, and a solid cash position (€2.43 billion), supported by consistent operating cash flow (€2.41 billion). However, its high beta (1.291) indicates volatility relative to the market, and its total debt (€7.86 billion) could pose financial risks in a rising interest rate environment. While eBay's revenue (€10.28 billion) and net income (€1.98 billion) reflect resilience, the company faces intense competition from larger e-commerce players and niche marketplaces. The dividend yield (approximately 1.04 per share) may appeal to income-focused investors, but growth prospects depend on eBay's ability to innovate and retain market share against dominant rivals like Amazon and emerging platforms.
eBay operates in a highly competitive e-commerce sector dominated by giants like Amazon and Alibaba, as well as specialized platforms such as Etsy and Mercari. eBay's competitive advantage lies in its hybrid marketplace model, which combines auction-style listings with fixed-price sales, appealing to both casual sellers and small businesses. Unlike Amazon, which focuses on bulk retail and logistics, eBay thrives on its decentralized, peer-to-peer ecosystem, offering unique and rare items that attract collectors and niche buyers. However, eBay's lack of a proprietary logistics network (unlike Amazon's FBA) limits its delivery speed and scalability. The company has invested in payment processing (Managed Payments) and authentication services to enhance trust, but it still struggles with counterfeit goods and seller fraud. While eBay's global presence is a strength, regional competitors like MercadoLibre in Latin America and Rakuten in Japan challenge its international growth. To remain competitive, eBay must continue improving user experience, expanding its authentication programs, and leveraging AI for personalized recommendations.