Assetmark Inc. lessened its position in eBay Inc. (NASDAQ:EBAY – Free Report) by 73.8% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 32,422 shares of the e-commerce company’s stock after selling 91,517 shares during the period. Assetmark Inc.’s holdings in eBay were worth $2,951,000 at the end of the most recent quarter.
Other institutional investors also recently modified their holdings of the company. Cedar Mountain Advisors LLC lifted its stake in eBay by 128.9% in the 1st quarter. Cedar Mountain Advisors LLC now owns 277 shares of the e-commerce company’s stock valued at $25,000 after purchasing an additional 156 shares during the last quarter. High Point Wealth Management LLC acquired a new position in eBay during the fourth quarter worth approximately $26,000. Abound Financial LLC bought a new stake in eBay in the fourth quarter valued at approximately $26,000. Jessup Wealth Management Inc bought a new stake in eBay in the fourth quarter valued at approximately $27,000. Finally, JPL Wealth Management LLC acquired a new stake in shares of eBay in the third quarter valued at approximately $28,000. 87.48% of the stock is currently owned by institutional investors and hedge funds.
Insider Activity In related news, SVP Jordan Douglas Bradle Sweetnam sold 863 shares of the business’s stock in a transaction dated Thursday, June 18th. The stock was sold at an average price of $109.17, for a total value of $94,213.71. Following the completion of the transaction, the senior vice president owned 34,533 shares of the company’s stock, valued at $3,769,967.61. The trade was a 2.44% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Mazen Rawashdeh sold 1,919 shares of the company’s stock in a transaction dated Wednesday, June 17th. The stock was sold at an average price of $108.51, for a total transaction of $208,230.69. Following the sale, the senior vice president directly owned 32,124 shares of the company’s stock, valued at $3,485,775.24. This represents a 5.64% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 76,012 shares of company stock worth $8,747,852. 0.67% of the stock is currently owned by company insiders.
eBay Stock Performance NASDAQ EBAY opened at $109.32 on Friday. The firm has a 50-day moving average price of $111.65 and a two-hundred day moving average price of $100.13. eBay Inc. has a 12-month low of $77.12 and a 12-month high of $119.31. The company has a market capitalization of $48.54 billion, a P/E ratio of 24.79, a P/E/G ratio of 2.44 and a beta of 1.37. The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 1.36.
eBay (NASDAQ:EBAY – Get Free Report) last announced its earnings results on Wednesday, April 29th. The e-commerce company reported $1.66 EPS for the quarter, topping the consensus estimate of $1.58 by $0.08. The company had revenue of $3.09 billion for the quarter, compared to analysts’ expectations of $3.04 billion. eBay had a net margin of 17.58% and a return on equity of 46.11%. The business’s revenue for the quarter was up 19.5% on a year-over-year basis. During the same period last year, the firm earned $1.38 earnings per share. eBay has set its Q2 2026 guidance at 1.090-1.140 EPS. Analysts anticipate that eBay Inc. will post 4.89 earnings per share for the current year.
eBay Announces Dividend The business also recently announced a quarterly dividend, which was paid on Friday, June 12th. Stockholders of record on Friday, May 29th were given a dividend of $0.31 per share. This represents a $1.24 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date was Friday, May 29th. eBay’s dividend payout ratio is presently 28.12%.
Wall Street Analyst Weigh In EBAY has been the topic of a number of recent analyst reports. UBS Group boosted their target price on eBay from $96.00 to $110.00 and gave the stock a “neutral” rating in a report on Tuesday, April 28th. Robert W. Baird upped their price objective on shares of eBay from $117.00 to $125.00 and gave the company an “outperform” rating in a report on Wednesday, July 15th. Deutsche Bank Aktiengesellschaft set a $124.00 target price on shares of eBay in a research note on Monday, May 4th. JPMorgan Chase & Co. upped their price target on shares of eBay from $87.00 to $100.00 and gave the company a “neutral” rating in a research note on Thursday, April 30th. Finally, President Capital increased their price target on shares of eBay from $102.00 to $126.00 and gave the company a “buy” rating in a report on Thursday, June 25th. Fourteen investment analysts have rated the stock with a Buy rating, eighteen have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $110.52.
Read Our Latest Stock Report on eBay
eBay Company Profile (Free Report)
eBay Inc is a global e-commerce company that operates an online marketplace connecting individual consumers and businesses for the sale and purchase of new, used and collectible goods. Founded in 1995 by Pierre Omidyar and headquartered in San Jose, California, eBay grew from its early auction-style site into a diversified platform offering both auction-format listings and fixed-price “Buy It Now” transactions. The company completed an initial public offering in the late 1990s and has since evolved its platform and services to support a broad range of product categories and buyer preferences.
The company’s core business centers on its marketplace platform, which provides listing, search and transaction capabilities for millions of items across consumer goods, electronics, fashion, collectibles and more.
See Also Five stocks we like better than eBay Premium Retail’s Stress Test Is Separating Winners From Losers D-Wave Quantum or a Quantum ETF: Which Is the Better Bet? GE Vernova Just Sent a Mixed AI Signal to Investors Alphabet Crushed Earnings, But One Number Spooked the Market Want to see what other hedge funds are holding EBAY? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for eBay Inc. (NASDAQ:EBAY – Free Report).
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A new class of takeover targets is emerging in public markets, what "All-In Podcast" co-host David Friedberg describes as a growing set of under-optimized, post-founder internet platforms ripe for reinvention.
These "flaccid" digital companies — still profitable but operationally stale — are increasingly drawing interest from AI-native operators and activist capital.
GME stock is moving. See the chart and price action here. EBAY as the ‘Second Dot’Friedberg frames the trend as structural, not anecdotal.
The opportunity, in his view, lies in businesses that "have become mature and old and stale and aren’t run by the founders anymore," and critically, "have not yet realized the opportunities with AI."
Why EBAY and PYPL FitCompanies such as eBay and PayPal Holdings Inc. (NASDAQ:PYPL) exemplify the setup. Both retain strong brand equity and user bases but have struggled to translate that scale into renewed growth.
Friedberg argues that from an AI-first perspective, the inefficiencies are glaring: "When you take a look at those businesses as a modern-day AI operator, you’re like, what the hell? This thing is so underutilized. They’re not using their network well. They’re not operating well. They’re overspending. They’re not using AI well."
The CHWY and GME PrototypeWhile outcomes vary, the strategy centers on aggressive cost discipline, sharper execution and reorienting legacy platforms toward digital leverage. Friedberg suggests the next evolution goes further: fully "AI-ifying" these businesses.
Capital Meets AI-ification"There’s a set of opportunities that become quite obvious," he said, particularly as capital markets begin to support these transformations.
Friedberg pointed to examples like "Josh Kushner’s roll-up of accounting firms" and "General Catalyst has a project like this where you can kind of use capital to go buy … traditional services businesses and AI-ify them," adding, "I think this is part of a line of maybe looking at traditional digital businesses and AI-ifying them."
Other Flaccid Digital Candidates"There’s a long list of these. There’s a couple dozen of them," Friedberg noted, emphasizing that the real bottleneck is execution.
"The question as a capital provider is, who do you partner with to go and execute that operational revival of that business?… It’s gotta be the best of the best."
What Investors are Really Looking AtInvestors should look at the pattern that Friedberg points to — the next wave of M&A may not target broken companies, but fixable ones.
This image was generated using artificial intelligence via Gemini.
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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Boston Common Asset Management LLC purchased a new position in shares of eBay Inc. (NASDAQ:EBAY – Free Report) in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund purchased 82,401 shares of the e-commerce company’s stock, valued at approximately $7,500,000.
Several other hedge funds also recently added to or reduced their stakes in the company. SEB Asset Management AB purchased a new position in shares of eBay during the first quarter valued at approximately $9,201,000. Swiss National Bank raised its holdings in shares of eBay by 5.9% in the first quarter. Swiss National Bank now owns 1,326,600 shares of the e-commerce company’s stock worth $120,747,000 after buying an additional 74,200 shares during the period. Legacy Wealth Advisors LLC purchased a new stake in shares of eBay in the first quarter worth approximately $238,000. Mediolanum International Funds Ltd lifted its stake in shares of eBay by 53.7% during the 1st quarter. Mediolanum International Funds Ltd now owns 18,760 shares of the e-commerce company’s stock worth $1,651,000 after acquiring an additional 6,556 shares during the last quarter. Finally, Dorsey Wright & Associates boosted its holdings in eBay by 89.7% during the 1st quarter. Dorsey Wright & Associates now owns 68,570 shares of the e-commerce company’s stock valued at $6,241,000 after acquiring an additional 32,422 shares during the period. 87.48% of the stock is currently owned by institutional investors.
Key Headlines Impacting eBay Here are the key news stories impacting eBay this week:
Positive Sentiment: Wedbush initiated coverage on eBay with an Outperform rating and a $135 price target, implying meaningful upside from current levels. This kind of analyst support can help reinforce investor confidence in the stock. Benzinga coverage Positive Sentiment: The UK competition watchdog cleared eBay’s $1.2 billion Depop acquisition, removing a regulatory hurdle and signaling progress on eBay’s growth-by-acquisition strategy. Retail Insight Network article Neutral Sentiment: Coverage also noted that eBay currently has a “Hold” consensus from brokerages, which suggests analysts remain split on the near-term outlook despite the recent bullish target. American Banking News article Neutral Sentiment: A product-related mention about a classic Camaro being listed on eBay is not a meaningful company-specific catalyst for the stock. MSN article Negative Sentiment: Multiple reports highlighted GameStop CEO Ryan Cohen’s renewed push to acquire eBay, including his comment that the company is “coming for eBay one way or another.” While an acquisition premium can sometimes support a stock, the repeated takeover pressure and talk of appealing directly to shareholders may also create uncertainty and volatility for eBay investors. Yahoo Finance article Insider Buying and Selling In other news, CEO Jamie Iannone sold 11,110 shares of eBay stock in a transaction on Monday, July 6th. The stock was sold at an average price of $113.33, for a total value of $1,259,096.30. Following the transaction, the chief executive officer directly owned 275,431 shares in the company, valued at approximately $31,214,595.23. This trade represents a 3.88% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Mazen Rawashdeh sold 50,000 shares of the business’s stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $117.04, for a total value of $5,852,000.00. Following the completion of the transaction, the senior vice president directly owned 29,217 shares of the company’s stock, valued at approximately $3,419,557.68. The trade was a 63.12% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 76,012 shares of company stock valued at $8,747,852 over the last 90 days. Corporate insiders own 0.67% of the company’s stock.
eBay Stock Performance Shares of NASDAQ EBAY opened at $112.06 on Monday. eBay Inc. has a twelve month low of $76.85 and a twelve month high of $119.31. The firm has a market cap of $49.75 billion, a PE ratio of 25.41, a price-to-earnings-growth ratio of 2.47 and a beta of 1.37. The business has a fifty day simple moving average of $111.60 and a two-hundred day simple moving average of $99.44. The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 1.36.
eBay (NASDAQ:EBAY – Get Free Report) last posted its quarterly earnings results on Wednesday, April 29th. The e-commerce company reported $1.66 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.58 by $0.08. The business had revenue of $3.09 billion for the quarter, compared to the consensus estimate of $3.04 billion. eBay had a return on equity of 46.11% and a net margin of 17.58%.The business’s revenue was up 19.5% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.38 EPS. eBay has set its Q2 2026 guidance at 1.090-1.140 EPS. Analysts expect that eBay Inc. will post 4.87 earnings per share for the current fiscal year.
eBay Dividend Announcement The firm also recently disclosed a quarterly dividend, which was paid on Friday, June 12th. Investors of record on Friday, May 29th were issued a dividend of $0.31 per share. This represents a $1.24 annualized dividend and a yield of 1.1%. The ex-dividend date of this dividend was Friday, May 29th. eBay’s dividend payout ratio (DPR) is presently 28.12%.
Analyst Ratings Changes Several equities analysts have commented on EBAY shares. BNP Paribas Exane upped their price objective on eBay from $97.00 to $110.00 and gave the company a “neutral” rating in a research report on Tuesday, May 5th. Truist Financial lifted their target price on eBay from $94.00 to $105.00 and gave the stock a “hold” rating in a research report on Monday, May 4th. Bank of America boosted their target price on shares of eBay from $102.00 to $110.00 and gave the company a “neutral” rating in a research note on Tuesday, April 21st. Citigroup restated an “outperform” rating on shares of eBay in a report on Tuesday, July 14th. Finally, Rothschild & Co Redburn raised their price target on shares of eBay from $100.00 to $115.00 and gave the stock a “neutral” rating in a research note on Wednesday, May 13th. Fourteen equities research analysts have rated the stock with a Buy rating, eighteen have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $110.52.
View Our Latest Report on eBay
About eBay (Free Report)
eBay Inc is a global e-commerce company that operates an online marketplace connecting individual consumers and businesses for the sale and purchase of new, used and collectible goods. Founded in 1995 by Pierre Omidyar and headquartered in San Jose, California, eBay grew from its early auction-style site into a diversified platform offering both auction-format listings and fixed-price “Buy It Now” transactions. The company completed an initial public offering in the late 1990s and has since evolved its platform and services to support a broad range of product categories and buyer preferences.
The company’s core business centers on its marketplace platform, which provides listing, search and transaction capabilities for millions of items across consumer goods, electronics, fashion, collectibles and more.
Read More Five stocks we like better than eBay Strait of Hormuz Tensions Spike Tanker Trade: These 2 Stocks Are Set to Benefit Shopify’s Quiet AI Strategy Could Be Its Biggest Advantage Yet Why These 3 Nuclear ETFs Are Getting a Fresh Look as AI Power Demand Rises 3 Aerospace Suppliers That Could Benefit as Aircraft Makers Face Bottlenecks Want to see what other hedge funds are holding EBAY? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for eBay Inc. (NASDAQ:EBAY – Free Report).
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@OptionsPlay's Tony Zhang talks about why stocks are mixed to close out a holiday-shortened trading week. He offers two bullish cases in different corners of the consumer space through Mastercard (MA) and eBay Inc. (EBAY) while walking investors through example options trades in both.
As the retail landscape shifts toward digital marketplaces and reimagined department stores, choosing between eBay (EBAY +0.09%) and Macy's (M +1.01%) depends on whether you value high-margin technology or a classic turnaround play.
eBay operates a global online platform connecting buyers and sellers, while Macy's anchors its business in physical storefronts and luxury brands. They are sometimes compared because both companies are navigating a rapidly evolving consumer environment where scale and digital integration determine long-term viability in a competitive market.
The case for eBayeBay operates a global online marketplace that bypasses the need for owned inventory, focusing instead on connecting millions of buyers and sellers. The company specializes in enthusiast categories such as motor vehicles, collectibles, and refurbished items, often utilizing partners for authentication services. As of June 2026, GameStop (GME +3.57%) has submitted a non-binding acquisition proposal at $125 per share, introducing a new layer of uncertainty regarding the company's future ownership.
eBay competes within the broader universe of retail stocks by focusing on these niche categories to drive engagement. In fiscal 2025, revenue reached nearly $11.1 billion, good for roughly 7.9% year-over-year growth. eBay generated net income of roughly $2 billion, resulting in a net margin of close to 18.3%.
As of its December 2025 balance sheet, the company maintained a debt-to-equity ratio of 1.6x. That means eBay uses $1.60 of debt for every dollar of equity owned by shareholders to fund its operations. The current ratio, which measures the ability to pay short-term debts with assets that can be converted to cash quickly, stood at 1.1x, while free cash flow reached nearly $1.7 billion for the year.
The case for Macy'sMacy's operates an omnichannel retail business through its primary namesake brand, along with the luxury-focused Bloomingdale's and beauty-centric Bluemercury. A significant portion of its financial structure is supported by a long-term commercial agreement with Citigroup (C 2.22%), which manages its credit card portfolio and involves profit-sharing on receivables. The company currently manages hundreds of locations across the United States while expanding its digital presence to reach a broader customer base.
Financial results for fiscal 2025 show that revenue was approximately $22.6 billion, a slight decline of roughly 1.7% from the prior year. Despite the dip in sales, the company generated net income of close to $642 million. This led to net margin of approximately 2.8%, reflecting the higher costs associated with maintaining a massive physical store footprint and inventory.
According to its January 2026 balance sheet, Macy's carries a debt-to-equity ratio of nearly 1.1x, suggesting a more conservative use of borrowed funds relative to its equity. Its current ratio of 1.5x means the company has $1.50 in current assets for every dollar of short-term liabilities. Free cash flow for the year was approximately $1.1 billion, providing the capital needed for its ongoing store reimagining strategy.
Risk profile comparisoneBay faces significant trial risk following the collapse of settlement negotiations in a cyberstalking lawsuit as of June 2026. The platform also contends with aggressive rivalry from AI-powered search tools and chatbots developed by companies like Alphabet (GOOG 2.15%) (GOOGL 1.73%) and Amazon (AMZN +2.44%). Furthermore, changes to global trade policies, including the potential removal of tax exemptions for small cross-border packages, could increase compliance burdens and transaction costs for its international sellers.
Macy's is currently focused on its “Bold New Chapter” strategy, but any failure to successfully modernize its supply chain or reimagine stores could hinder future profitability. The company is highly sensitive to shifts in consumer spending caused by inflation and interest rate volatility. Additionally, a heavy reliance on overseas manufacturing makes the business vulnerable to new tariffs and shipping disruptions resulting from global geopolitical tensions and trade disputes.
Valuation comparisonMacy's currently trades at a significantly lower earnings multiple and sales valuation than eBay, though the companies operate with vastly different profitability profiles.
MetriceBayMacy'sSector BenchmarkForward P/E17.7x11.7x28.6xP/S ratio4.3x0.3xSector benchmark uses the SPDR XLY sector ETF.
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
Macy's is a definite "no" for me. It feels like a special situation, which is outside my circle of competence. The department store retailer is a turnaround story, and those have a binary outcome: things turn around, or they don't. Put more bluntly, the company will figure things out and the stock will go up, or it won't, and it's a zero.
eBay is slightly more complicated. Whatever's happening with GameStop is sort of difficult to assess because GameStop hasn't been a rational stock (or company) for years now; launching an acquisition bid post-toilet does not especially inspire confidence, but opinions may vary here. eBay, at the very least, does not seem particularly keen, calling the offer "neither credible nor attractive."
Setting that aside, eBay's legal issues do seem concerning. What the plaintiffs allege is horrifying, and though they surely will not get as much in damages as they're requesting, it's a question mark I wouldn't like for a stock I owned.
It's a coward's way out, but truthfully, I wouldn't want to own either of these stocks.
GME stock is moving. See the chart and price action here. Cohen joined Anthony Pompliano on the "From the Desk of Anthony Pompliano" podcast and explained why he wants to acquire eBay.
“I Want to Own eBay“GameStop has proposed acquiring eBay for $125 per share in a half-cash, half-stock deal, with Cohen saying GameStop has about $9 billion in cash and a $20 billion financing commitment from bankers.
He framed the bid as a shareholder-friendly combination that would let eBay investors take part cash while rolling the rest into a combined company led by him.
"It’s within my circle of competence," Cohen said. "It’s a business that I understand. It’s the second-largest e-commerce asset in the United States."
Cohen argued eBay is "under earning" and said he could "make a really big impact in terms of the profitability in the short term, but more important in the long term."
"It’s something where I want to run eBay. I want to own eBay. I want eBay to be a much, much larger business," Cohen said.
He said his Chewy experience is central to the thesis.
"E-commerce is in my wheelhouse and there’s no asset in my view that has as much potential as eBay," Cohen said.
Cohen is UndeterredeBay rejected GameStop's proposal, calling the offer "not credible or attractive."
Cohen argued the response was expected, saying the deal is "not attractive to the board and the management team" because they would be replaced, but "it's very attractive to shareholders."
He contrasted his approach with eBay's current leadership, saying, "I don’t get paid unless I build a much larger business and I want to turn eBay into something much larger."
He also took aim at eBay's expense structure.
"I mean, it’s a business that’s spending over $5.5 billion on $11 billion in revenue to run a business that essentially has no inventory and is very asset light," Cohen said, adding that he is "committed to $2 billion in cost cuts at eBay."
He Likes the BusinessCohen told Pompliano that he is prepared to keep pressing the matter directly with shareholders.
"We’re going to do whatever we obviously need to do in order to bring this proposal in front of the true owners of the business," he said.
Cohen summed up his eBay motivations simply: "I want the business. I want the business."
GME Price ActionThe chart below shows the one-year price action for GME:
GME Price Action: GameStop stock was down 0.22% at $22.34 at the time of publication on Wednesday, according to Benzinga Pro.
Over the past month, GME has declined about 4.53% versus a 9.5% rise in the S&P 500 and is up roughly 10% year-to-date compared to the index’s 8.2% gain.
Photo: Jillian Cain Photography / Shutterstock
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SummaryCompaniesCohen presses eBay to let shareholders weigh in on offerCohen hints that he won't give up on effort to win eBayCohen calls eBay management "losers"NEW YORK, May 13 (Reuters) - GameStop (GME.N), opens new tab CEO Ryan Cohen told eBay's (EBAY.O), opens new tab board on Wednesday that they should not reject his $56 billion takeover proposal and the e-commerce company's shareholders deserve a chance to evaluate it.
Cohen reacted one day after eBay rejected his unsolicited offer to buy the company, calling the proposal "neither credible nor attractive."
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In a letter to eBay's chairman and separate online interview with journalist Piers Morgan, Cohen, a billionaire investor, signaled his intention to keep going and hinted at possible next steps to try and win his prize.
Revered by many retail investors for having faced off against prominent hedge funds while investing in GameStop, Cohen has previously said he would make cost cuts and considerable changes at eBay, including running the combined company himself.
Referring to eBay's board in the interview with Morgan, Cohen said: "They have a job to do their best for shareholders and engage on this and if they don't then we'll do whatever we need to do."
In the letter to eBay Chairman Paul Pressler, Cohen emphasized that eBay shareholders deserved a say on his proposal and went on to criticize top management's compensation.
"They should not dismiss a $125 per share proposal without engaging on its substance," he wrote, adding: "The economics are clear and they are public. eBay's own shareholders deserve the opportunity to evaluate them."
Ebay on Wednesday declined to comment beyond the statement it made on Tuesday.
GameStop owns a 5% stake in eBay and some analysts speculated Cohen may try to call a special shareholder meeting where he might try to get directors elected who might view his proposal more favorably. But they also noted he would need a considerably larger stake to make such a move.
Cohen also noted that he had requested a meeting with eBay's board but had been rejected, according to the letter which was seen by Reuters.
GameStop logo is seen in this illustration taken September 9, 2025. REUTERS/Dado Ruvic/Illustration/File Photo Purchase Licensing Rights, opens new tab
SURPRISE OFFEREarlier this month Cohen surprised Wall Street with his unsolicited offer to buy a company significantly bigger than his own when he offered $125 a share in cash and stock for each eBay share. GameStop has a market valuation of about $10 billion while eBay's market value is roughly $50 billion.
On Tuesday eBay pointed to concerns with GameStop's bid, including its financing, its impact on eBay's long-term growth and the leadership structure of a potentially combined company.
The GameStop CEO previously said he has a debt financing commitment letter from TD, contingent on the combined company receiving an investment-grade rating. Moody's said last week the deal would be credit negative for eBay.
Cohen's letter on Wednesday compared his tenure as leader at GameStop with eBay chief Jamie Iannone's six years at the helm. "He has received ~$144 million in compensation. He has not purchased a single share of eBay common stock in the open market," Cohen's letter said.
Cohen said about himself that he draws no salary, gets no cash bonuses and has no golden parachute. He said he has invested $128 million in GameStop common stock since 2020.
Some 88% of Iannone's compensation is delivered in eBay equity.
Analysts noted that eBay already has an EBITDA margin of 31%, three times higher than GameStop's 10%.
Cohen told Morgan: "I'm an owner-operator. I'm not one of these country club executives that get recruited through these professional agencies."
Referring to eBay, he said, "I love the asset," but added, "it's run by a bunch of losers."
Reporting by Svea Herbst-Bayliss; Editing by Nia Williams and Stephen Coates
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Abigail is on the M&A team and writes about consumer and retail deals. She joined Reuters in 2022 from Debtwire where she covered leveraged finance and the primary debt market for three years. Previously, her work has appeared in the Wall Street Journal, CNBC and the Boston Business Journal. She majored in business journalism at Washington and Lee University.
There’s not a single trader or sophisticated investor I have spoken to who believes Ryan Cohen, the CEO of troubled video-game retailer GameStop, is really going to buy eBay. And yet, I can’t count this guy out – and neither should you.
Yes, there are plenty of reasons to doubt. EBay is five times GameStop’s size. The meme investor cult that has followed 40-year-old Cohen doesn’t extend much beyond the fevered swamps of retail stock picking.
Cohen’s recent disclosures about his bid also haven’t helped his cause. His uneven and sometimes evasive interview on CNBC has been universally panned, including his laconic response to questions about how he plans to finance the deal.
There are plenty of reasons to doubt GameStop CEO Ryan Cohen’s pursuit of eBay. But don’t count him out yet. Jack Forbes / NY Post Design “The full details are on our website,” Cohen assured his interlocutors, even though simple math – $9 billion in cash plus $20 billion in borrowed money – doesn’t get you to eBay’s market cap of $53 billion.
It was the joke of last week’s Milken Global Conference, the yearly confab of Wall Street power players.
Meanwhile, the typical eBay shareholder has done well over the past five years. It’s a profitable e-commerce business under current management.
So it’s no surprise that eBay gave Cohen the old Heisman this week, rejecting his offer as “neither credible nor attractive.” Most people on Wall Street – and probably the eBay board – are concluding that he will make up the financing difference by further diluting his GameStop shareholders.
What eBay investor wants shares of a barely profitable retailer that sells videos in malls people don’t go to anymore and which, by the way, has a huge position in Bitcoin?
The typical eBay shareholder has done well over the past five years. It’s a profitable e-commerce business under current management. REUTERS Of course, all of this is more than fair. But here’s why I’m also skeptical of the Cohen skeptics.
GameStop is a lousy business, which Cohen readily admits, but somehow he has made it work. Cohen, the founder of the successful pet supplies site Chewy, took over GME in 2023 just after the height of the meme mania had sent its shares soaring.
They’re now well off their highs, but Cohen has done a good job operationally, shedding stores and accumulating cash by diluting shareholders. That’s exactly what he’s supposed to do. Yes, its stock is still buoyed by meme mania, but its balance sheet is strong.
GameStop has a $10 billion market cap. Getty Images Other meme stocks have imploded; GME has a $10 billion market cap.
He’s also smartly looking for an exit ramp for GME, a floundering business. It’s why he made a foray into crypto and why he’s making his move against eBay.
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Bob Sloan, the founder of S3 Partners and my partner in the Risk and Return podcast, has been around Wall Street for years. He sniffs a method to the alleged madness in Cohen’s eBay bid.
“He’s in the game for something, it might not be this, but he’s in the game,” he tells me.
Cohen seems undeterred by eBay’s stiff arm and suggested he might make a hostile bid for the company on Wednesday.
Yes, it all sounds crazy – but would it be any crazier than his purchase of GameStop?
Two factors often determine stock prices in the long run: earnings and interest rates. Investors can't control the latter, but they can focus on a company's earnings results every quarter.
Life and the stock market are both about expectations, and rising above what is expected is often rewarded, while falling short can come with negative consequences. Investors might want to try to capture stronger returns by finding positive earnings surprises.
The ability to identify stocks that are likely to top quarterly earnings expectations can be profitable, but it's no simple task. Here at Zacks, our Earnings ESP filter helps make things easier.
The Zacks Earnings ESP, ExplainedThe Zacks Earnings ESP, or Expected Surprise Prediction, aims to find earnings surprises by focusing on the most recent analyst revisions. The basic premise is that if an analyst reevaluates their earnings estimate ahead of an earnings release, it means they likely have new information that could possibly be more accurate.
With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure. The system also utilizes our core Zacks Rank to provide a stronger system for identifying stocks that might beat their next quarterly earnings estimate and possibly see the stock price climb.
When we join a positive earnings ESP with a Zacks Rank #3 (Hold) or stronger, stocks posted a positive bottom-line surprise 70% of the time. Plus, this system saw investors produce roughly 28% annual returns on average, according to our 10 year backtest.
Stocks with a #3 (Hold) ranking, which is most stocks covered at 60%, are expected to perform in-line with the broader market. But stocks that fall into the #2 (Buy) and #1 (Strong Buy) ranking, or the top 15% and top 5% of stocks, respectively, should outperform the market. Strong Buy stocks should outperform more than any other rank.
Should You Consider Costco?The final step today is to look at a stock that meets our ESP qualifications. Costco (COST - Free Report) earns a #3 (Hold) 13 days from its next quarterly earnings release on May 28, 2026, and its Most Accurate Estimate comes in at $4.95 a share.
COST has an Earnings ESP figure of +0.82%, which, as explained above, is calculated by taking the percentage difference between the $4.95 Most Accurate Estimate and the Zacks Consensus Estimate of $4.91. Costco is one of a large database of stocks with positive ESPs. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
COST is part of a big group of Retail and Wholesale stocks that boast a positive ESP, and investors may want to take a look at eBay (EBAY - Free Report) as well.
eBay is a Zacks Rank #3 (Hold) stock, and is getting ready to report earnings on July 29, 2026. EBAY's Most Accurate Estimate sits at $1.51 a share 75 days from its next earnings release.
The Zacks Consensus Estimate for eBay is $1.50, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of +0.65%.
COST and EBAY's positive ESP metrics may signal that a positive earnings surprise for both stocks is on the horizon.
Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
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Ebay launched 'The NYC Edit' in March, an online editorial guide highlighting what tastemakers are buying and selling. Noam Galai/Getty Images for eBay EBay has been making headlines recently.
Despite being seen as the pioneer of online resale, the 30-year-old e-commerce platform has struggled to shake its reputation as the internet's flea market. But when GameStop CEO Ryan Cohen made an unsolicited bid to buy the company, eBay doubled down on the idea that it's better off alone, and investors scoffed.
The company is having a glow-up, and fashion is playing a big part in its growth. In February, it reached an agreement to buy Depop, the resale platform loved by Gen Z, for $1.2 billion. The deal has not yet been finalized.
"One of the things that you can't argue with, we've been around for 30 years," Kirsty Keoghan, general manager of EU Fashion & Luxury at eBay, told Business Insider. "We are the OG of buying and selling preloved fashion."
When newer, buzzier competitors emerged and helped reshape consumer perceptions of secondhand shopping, eBay had lost its luster. However, through savvy partnerships, working with celebrities, and improving its user experience, the resale OG is regaining its cool again.
Kirsty Keoghan has worked at eBay for over 15 years. eBay It started with trustEbay's shares are up around 185% since Jamie Iannone took over as CEO in April 2020 and launched a turnaround effort, and up over 30% year-to-date.
In its first quarter results, released in April, revenue was up 19% year-on-year. Fashion saw double-digit year-on-year growth, led by its luxury, streetwear, and pre-loved clothing focus categories.
A key step in CEO Jamie Iannone's turnaround strategy was to home in on its verticals by making focus categories within them. This was to attract enthusiast buyers, including sneakerheads and vintage luxury lovers. It kicked off this transformation by implementing authenticity guarantees within these focus categories.
CEO Jamie Iannone's strategy was to lean into eBay's verticals. Bloomberg/Getty Images It started with sneakers in the US in 2020 and has since expanded to other markets and products. Most recently, it integrated a luxury watch authentication service that flags stolen watches in the UK.
"It's [trust] important for everybody when shopping online, particularly with pre-loved," Keoghan said. "But I just think particularly for luxury, it's such an important part of our strategy."
From 'Love Island' to the Met GalaAnother key part of eBay's fashion strategy has been getting involved in cultural moments in order to amp up its visibility and cool factor.
The company teamed up with Vogue and singer-songwriter SZA to source her outfit for the 2026 Met Gala. It has been partnered with popular TV series "Love Island" in the UK since 2022, and has worked with some of the biggest American influencers, such as Emma Chamberlain.
Ebay has built relationships with celebrity stylists in an attempt to have items sourced from its platform appear organically in cultural moments.
One of its ambassadors, celebrity stylist Harry Lambert, dressed Harry Styles in a pre-loved outfit sourced from eBay for a shoot for his latest album launch.
SZA's outfit at the 2026 Met Gala was sourced from eBay. Mike Coppola/Getty Images "The reason why we've done that is so that we can put pre-loved fashion at the forefront of some of these really big fashion moments and get people to think about fashion really differently," Keoghan said.
Fierce competitionDespite the trendy collaborations and the popularity of pre-loved fashion among Gen Z consumers, Keoghan said eBay does not have a specific core customer in mind.
"We've got all of the other categories, which I think for us is like our superpower because you can come and buy fashion and you can also go and buy or sell a desk or a sofa," Keoghan said.
Since eBay's launch, younger companies such as European-headquartered Vinted and US-based Poshmark have emerged, making the secondhand e-commerce market fiercely competitive. When Vinted dropped its seller fee, eBay followed suit in the UK and Germany. It is yet to do the same in the US.
Ebay's 'The NYC Edit' campaign in March included a physical retail pop-up. Noam Galai/Getty Images for eBay Keoghan said she welcomes the competition. "I think it makes us all up our game," she said.
No longer wanting to play catch-up, eBay is pressing ahead with AI features, such as AI-generated descriptions and a background enhancement tool, to reduce seller friction as much as possible.
"Using innovation and technology to do that is really key for us at eBay," she added. "We're just trying to continue to make those better and better and better. So it makes it really easy for our customers."
Read next
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Roya is a business news fellow at Business Insider's London office.Before joining Business Insider, she worked as a reporter at financial newswire Alliance News and was a platforms and publishing intern at The Wall Street Journal. Roya graduated from City St George's, University of London with an MA in International Journalism. You can contact her via email at [email protected] or message her securely on Signal at royashahidi.36
Tel Aviv, Israel--(Newsfile Corp. - May 16, 2026) - SuperDS, an eBay dropshipping automation platform, announced the expansion of its multi-supplier listing automation and inventory management infrastructure aimed at supporting sellers operating larger and more complex product catalogs.
According to the company, the expansion introduces updated supplier synchronization processes, enhanced inventory monitoring capabilities, and broader automation support for multi-supplier workflows within eBay store operations. The update is intended to improve the management of supplier stock changes, pricing fluctuations, and listing synchronization through a centralized automation environment.
The company stated that the expanded infrastructure was developed in response to increasing operational demands among marketplace sellers managing multiple supplier sources simultaneously.
"The latest infrastructure expansion was designed to improve the efficiency of inventory synchronization and listing management across multiple supplier channels," said Daniel Cohen, Chief Executive Officer of SuperDS. "The updated system provides additional automation support for sellers handling larger product volumes and more dynamic supplier activity."
The expansion also includes enhancements to automated product monitoring processes intended to reduce delays between supplier inventory updates and marketplace listing adjustments. According to the company, the system improvements are focused on maintaining more consistent synchronization between supplier data and active eBay listings.
SuperDS stated that the rollout of the expanded automation capabilities is part of a broader operational development initiative focused on automation scalability and supplier management performance.
"The growing complexity of multi-supplier operations has increased the need for more responsive automation systems," said Daniel Cohen, Chief Executive Officer of SuperDS. "This expansion is intended to strengthen inventory tracking reliability and improve workflow efficiency for sellers managing high-volume listing activity."
The company confirmed that the expanded functionality is now being implemented across supported seller accounts.
Additional information regarding the infrastructure expansion is available at super-ds.com.
About SuperDS
SuperDS develops automation software for eBay dropshipping operations, including listing synchronization, supplier monitoring, and inventory management tools.
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To view the source version of this press release, please visit https://www.newsfilecorp.com/release/297743
Source: Mkdigiworld
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Item 1 of 2 A man walks in front of a GameStop store in the Jackson Heights neighborhood of New York City, New York, U.S. January 27, 2021. Picture taken January 27, 2021. REUTERS/Nick Zieminski/ File Photo
[1/2]A man walks in front of a GameStop store in the Jackson Heights neighborhood of New York City, New York, U.S. January 27, 2021. Picture taken January 27, 2021. REUTERS/Nick Zieminski/ File Photo Purchase Licensing Rights, opens new tab
CompaniesMay 20 (Reuters) - GameStop (GME.N), opens new tab increased its stake in eBay (EBAY.O), opens new tab to about 6.6% from around 5%, according to a regulatory filing, the latest step in the videogame retailer's push to buy the e-commerce giant.
"Together, the 25,000 shares of Common Stock beneficially owned directly and the shares of Common Stock underlying Put/Call Pairs constitute approximately 6.55% of the outstanding shares of Common Stock," the filing made by GameStop with the U.S. Securities and Exchange Commission said.
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Earlier this month GameStop Chief Executive Officer Ryan Cohen surprised Wall Street with an unsolicited offer to buy eBay for roughly $56 billion.
EBay, which is roughly five times as large as GameStop, rejected the offer, calling the proposal "neither credible nor attractive."
Disappointed but not deterred, Cohen has said in interviews that he was sticking with his plan to try and buy the company and would take the offer directly to shareholders if needed.
By increasing his holdings, he might be laying the groundwork to pursue options like calling a special meeting, analysts said.
A representative for Cohen had no comment beyond the regulatory filing.
EBay's shares jumped 35% this year as it reported strong first-quarter earnings amid a fresh focus on high-growth categories like collectibles. Since Jamie Iannone took over as eBay CEO in 2020 after other activist investors forced his predecessor out, eBay's stock has climbed more than 201%.
GameStop shares are up about 9% this year but have fallen 65% since Cohen took over as chairman in 2021.
Reporting by Harshita Mary Varghese in Bengaluru and Svea Herbst-Bayliss in New York; Editing by Sriraj Kalluvila, Kirsten Donovan
Our Standards: The Thomson Reuters Trust Principles., opens new tab
HomeIndustriesInternet/Online ServicesGameStop has boosted its stake in eBay to around 6.55%, up from around 5%Last Updated: May 20, 2026 at 4:15 p.m. ET
First Published: May 20, 2026 at 1:34 p.m. ET
EBay may have shot down GameStop’s $56 billion buyout offer this month, but the videogame retailer continues to show interest in the online auction platform.
GameStop GME has boosted its stake in eBay EBAY to around 6.55%, up from roughly 5% as of earlier this month, according to a filing from GameStop late Tuesday. The 6.55% ownership stake reflects common stock and shares underlying put/call option pairs.
Key Takeaways MercadoLibre faces margin pressure as shipping, fulfillment and fintech investments continue rising.eBay is benefiting from stronger advertising momentum and resilient category-focused marketplace demand.eBay trades at a higher valuation multiple than MercadoLibre, supported by stronger profitability. MercadoLibre (MELI - Free Report) and eBay (EBAY - Free Report) are among the most recognized names in e-commerce, connecting millions of buyers and sellers through large online marketplace ecosystems. MercadoLibre has built a dominant presence in Latin America through its integrated commerce and logistics network, while eBay continues to strengthen its global marketplace with a focus on categories such as collectibles, luxury goods and automotive parts.
Both companies are expanding seller tools, advertising offerings, shipping capabilities and AI-driven shopping experiences to drive marketplace engagement and transaction growth. However, their approaches toward growth, profitability and marketplace monetization have increasingly diverged. Let’s delve deeper to determine which e-commerce platform holds the edge.
The Case for MELIMercadoLibre’s platform is expected to remain under pressure as growth depends on sustained spending across shipping, fulfillment and merchant incentives. Seller fees have been lowered in selected categories and free shipping programs continue to expand, driving stronger commerce volumes but limiting operating leverage and compressing platform margins. Revenues rose 49% year over year in the first quarter of 2026, while operating margin compressed 600 basis points to 6.9% as investment intensity accelerated.
MELI continues to push deeper into advertising, AI-driven search and seller discovery tools to improve conversion and buyer engagement. However, these capabilities are still being developed alongside elevated infrastructure expansion, which is expected to keep technology and operating costs high over the near term. MercadoLibre’s marketplace model increasingly appears dependent on continuous ecosystem reinvestment rather than margin expansion.
A further concern weighing on MELI is the growing drag from fintech operations, which contributes to the widening performance gap between MELI and eBay. Credit card issuance, consumer loans and longer duration lending continue to expand aggressively, keeping provisioning elevated and profitability under pressure. Mercado Pago’s monthly active users grew 29% year over year in the first quarter of 2026, while the credit portfolio nearly doubled to $14.6 billion, a trend expected to weigh on earnings visibility going forward.
The Zacks Consensus Estimate for MELI's second-quarter 2026 earnings is pegged at $8.69 per share, down 25.5% over the past 30 days, indicating a year-over-year decline of 15.71%.
The Case for EBAYeBay’s e-commerce platform is expected to benefit from a more balanced marketplace strategy centered on seller engagement, advertising monetization and category-focused commerce expansion. The company continues strengthening its presence across collectibles, luxury goods, automotive parts and recommerce categories, where transaction quality and enthusiast demand remain relatively resilient. Gross merchandise volume increased 14% year over year in the first quarter of 2026, supported by stronger momentum across fashion, motors and collectibles. eBay Live is operational across seven markets globally, and cross-border trade has been supported through expanded shipping solutions, including eBay International Shipping in Canada and SpeedPAK across Germany and six additional markets.
eBay continues to expand AI-driven seller tools, conversational search capabilities and advertising solutions to improve conversion rates and marketplace engagement. AI-powered listing enhancements are expected to simplify seller onboarding and improve listing productivity, while advertising offerings continue supporting take rate expansion across the platform. First-party advertising revenue grew 28% to $555 million in the first quarter of 2026, benefiting from stronger promoted listings adoption and higher seller participation across the marketplace.
eBay's marketplace model is expected to remain relatively disciplined from a profitability standpoint compared with MELI. The company continues investing in shipping solutions, live commerce and marketplace innovation without materially disrupting earnings leverage. Operating income increased 18% year over year in the first quarter of 2026, reflecting healthy operational execution alongside marketplace growth.
The Zacks Consensus Estimate for eBay’s second-quarter 2026 earnings is pegged at $1.5 per share, up by a penny over the past 30 days. The figure indicates an 9.49% increase year over year.
Price Performance and Valuation of MELI and EBAYIn the year-to-date period, EBAY shares have rallied 32.9% while MELI shares have declined 17.4%. EBAY's rally has been supported by its global marketplace exposure and stable execution, whereas MELI's share price weakness reflects the strain of rising costs and margin uncertainty.
EBAY vs. MELI: YTD Performance
Image Source: Zacks Investment Research
On a forward 12-month Price-to-Sales basis, eBay trades at 4.1x compared to MELI's 1.89x. While MELI's lower multiple may appear attractive, it reflects ongoing margin compression and earnings uncertainty. eBay's premium is supported by stronger profitability, disciplined capital allocation and consistent earnings growth, making the valuation gap appear fundamentally justified.
EBAY vs. MELI: Valuation
Image Source: Zacks Investment Research
ConclusioneBay's global marketplace exposure, stable margins and growing advertising revenues give it a clear edge over MercadoLibre. MELI's margin compression, elevated spending and expanding fintech risk continue to weigh on its investment case.
eBay carries a Zacks Rank #3 (Hold), while MELI has a Zacks Rank #5 (Strong Sell) at present.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
SummaryCompaniesAnalysts skeptical of financing, strategy for eBay takeoverMost of GameStop's eBay stake tied to derivatives that limit voting powerCohen could try to launch tender offer, call shareholder meeting or apply public pressureNEW YORK, May 27 (Reuters) - GameStop (GME.N), opens new tab CEO Ryan Cohen shared few details when he said he would do "whatever we need to do" to buy eBay (EBAY.O), opens new tab after the e-commerce company rejected his $56 billion unsolicited takeover bid as "neither credible nor attractive."
In early May, Cohen offered eBay's board $125 a share as well as his services as CEO. Half the offer was in cash and half in stock, with the cash portion coming from GameStop's $9.4 billion in cash reserves. GameStop also has a non-binding commitment letter from TD Securities for up to $20 billion in debt financing, if the combined company can secure investment-grade credit ratings. Industry analysts have questioned whether that will be possible.
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Cohen raised more questions on Wall Street with vague answers in recent interviews to questions about how he would pay for eBay, a company nearly five times the size of his own.
Despite the resounding refusal from eBay's board, bankers, investors, lawyers and industry analysts say Cohen has an unlikely, but not impossible, path for wresting control of eBay.
TENDER OFFEROne option for Cohen, who co-founded online pet goods retailer Chewy and is credited with turning around GameStop in 2021, would be to bypass eBay's board by approaching shareholders with an offer to buy them out at a premium through a so-called tender offer, more than half a dozen bankers, lawyers and analysts said.
While tender offers are relatively rare, they can make a lot of noise. Paramount Skydance used one that promised all cash to pressure Warner Bros Discovery into negotiations, despite its existing agreement to sell to Netflix. Paramount ultimately won after being rejected at least a half dozen times.
GameStop would have to convince eBay's largest institutional investors including Vanguard, BlackRock and State Street, who run the world's biggest index funds. Together the three own more than 22% of eBay, holding the stock automatically as a part of the index they track. Analysts say it is highly unlikely these firms would jump to approve a hostile takeover bid.
"There is zero chance that a tender offer works," said Don Bilson, head of event-driven research at Gordon Haskett, adding, "no eBay shareholder would opt into this."
Shares of eBay have jumped 32% so far this year, giving the company a market value of roughly $51 billion. It reported strong first-quarter earnings, citing high-growth markets like collectors of memorabilia, toys and other items.
Since Jamie Iannone took over as CEO in 2020, after activist investors forced out his predecessor, eBay's stock has climbed by about 200%.
GameStop shares are up by more than 11% so far this year. But since Cohen took over as chairman in June 2021, the share price has fallen by about 70%, after accounting for stock splits.
Representatives for GameStop and eBay declined to comment.
SPECIAL MEETINGCohen, who has told his advisers he may want to go directly to shareholders, could also call a special meeting to elect new directors who may be more sympathetic to his offer.
To do that, he would need to buy more shares. GameStop recently said it now has 6.6% in "economic exposure" to eBay, up from roughly 5%, but not all of that conveys voting rights. Most of GameStop's economic interest in eBay stems from put/call pair derivative positions tied to 29 million shares of stock that would only carry voting rights if the contracts are physically settled. GameStop owns just 25,000 shares of eBay outright, roughly 0.006% of the company.
Even if those derivatives are eventually converted into voting shares, GameStop ownership falls far short of the traditionally required 20% stake in common stock to call a special meeting.
GameStop appealed to its own investors on Friday to authorize the issuance of more stock from 1 billion to 2.5 billion shares, increasing speculation that Cohen plans to issue stock to buy more eBay shares.
"We view our equity as precious and do not intend to issue new shares lightly. A reserve of authorized shares ensures GameStop can act decisively when the right opportunity arises," the company said in a letter to shareholders.
Mark Cohen, former director of retail studies at Columbia Business School and the former CEO of Sears Canada and no relation to the GameStop CEO, was skeptical the plan would work.
"If he had the capacity to mount a proxy fight he might get away with it, but he doesn’t. So the eBay board blew this off," said Mark Cohen. "He's got enough money to make the claim but not enough money to make his claim stick."
PUBLIC PRESSURERyan Cohen's best option, analysts and investors said, may be to exert public pressure on the board to wear directors down.
He is already doing that, saying eBay "needs to be on Ozempic – it's literally obese" in a public interview with investor Anthony Pompliano and telling journalist Piers Morgan the company is "run by a bunch of losers."
Analysts take issue with that characterization, saying eBay generated an enviable operating profit margin of 31% in the last fiscal year – three times as high as GameStop's 10%.
Cohen famously helped save GameStop from possible bankruptcy in 2021 as hedge funds bet the ailing videogame retailer's stock and market valuation, teetering around $250 million, would continue to fall.
He later took heat for launching a campaign as an activist investor in 2022 against Bed Bath & Beyond. The retailer's stock price collapsed after he sold his shares for a $60 million profit. The company was forced to issue more shares until it finally filed for bankruptcy in 2023.
So far, his bet on GameStop has paid off better for other investors. It now has a market value of $11 billion after Cohen, who joined the board in 2021 and became CEO in 2023, cut costs, pivoted the focus away from video games and toward trading cards and made big share offerings that delighted legions of retail investors who supported him during the face-off with the hedge funds.
"I'm an owner-operator," Cohen told Morgan, trying to lay out differences between him and eBay CEO Jamie Iannone, suggesting he has more skin in the game.
While Wall Street awaits Cohen's next move, several bankers and lawyers noted that an unwelcome bid is a slow process and Cohen is not tied to any time constraints to move quickly.
One of his options would be "to just sit there and wait," Gordon Haskett's Bilson said. "There is no rush."
Reporting by Svea Herbst-Bayliss and Abigail Summerville in New York. Editing by Dawn Kopecki and David Gregorio
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Abigail is on the M&A team and writes about consumer and retail deals. She joined Reuters in 2022 from Debtwire where she covered leveraged finance and the primary debt market for three years. Previously, her work has appeared in the Wall Street Journal, CNBC and the Boston Business Journal. She majored in business journalism at Washington and Lee University.
On May 27, 2026, eBay Inc EBAY shares fell 4.3%, closing at $110.36. Over the past week, the stock has declined by 7.2%, despite a solid YTD gain of 27.1% and a remarkable 54.5% increase over the past year. The stock has traded within a 52-week range of $71.69 to $119.31.
GF Value™ verdict: Shares are currently priced at $110.36, which is 37.8% above the GF Value of $80.09, indicating the stock is overvalued.GF Score™: eBay has a score of 82/100, categorized as strong, suggesting it has solid fundamental characteristics.Most notable signal: Insider activity shows that insiders sold $20.1 million worth of shares over the last three months, with no notable buying activity. Is EBAY Overvalued or Undervalued? eBay's current price of $110.36 is significantly higher than the estimated GF Value™ of $80.09, leading to an overvaluation of 37.8%. This gap between the current market price and the intrinsic value highlights a lack of margin of safety for potential investors, suggesting that the current pricing may not be sustainable in the long run. The GF Valuation label indicates that the stock is significantly overvalued, raising concerns about the potential for price correction if the market adjusts to align more closely with its fundamental value.
While eBay has demonstrated strong performance metrics over the past year, the overvaluation risk cannot be overlooked. Investors may face losses if the shares revert toward their intrinsic value. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. This emphasizes the importance of understanding intrinsic value in the context of current market conditions.
How Does EBAY's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 25.0x 16.0x Forward P/E 18.0x eBay's current P/E (TTM) of 25.0x stands at 57% above its 5-year median P/E of 16.0x, indicating that the stock is trading at a higher valuation than it has historically. The forward P/E of 18.0x suggests some expectation of growth, yet it still aligns with the overvalued status indicated by the GF Value™ verdict. This P/E analysis concurs with the overall assessment of eBay being overvalued, as it reflects a significant premium over historical norms.
What Does EBAY's GF Score™ Tell Us? The GF Score™ ranks stocks from 0 to 100 based on five key aspects: Financial Strength, Profitability, Growth, Valuation, and Momentum. Stocks with higher GF Score™ values have been found to generate higher long-term returns (backtested 2006-2021).
Metric Rating GF Score™ 82 Financial Strength 6/10 Profitability 8/10 Growth 6/10 Valuation 5/10 Momentum 10/10 eBay's GF Score™ of 82 indicates strong overall performance, particularly in profitability (8/10) and momentum (10/10), suggesting the company has maintained solid earnings and positive stock price movement. However, the Valuation score of 5/10 reflects potential concerns regarding its current market price relative to intrinsic value. Financial strength is moderate at 6/10, implying a stable balance sheet, but the growth score of 6/10 may indicate that future expansion could be a challenge. Overall, while there are strong attributes, the valuation aspect signals caution.
What Are Insiders Doing with EBAY Stock? Recent insider activity has shown a significant trend towards selling, with insiders offloading $20.1 million in shares over the last three months without any notable buying. This pattern may suggest a lack of confidence in the stock's current pricing or future performance from those who are most familiar with the company's operations. Such selling activity can often be viewed as a bearish signal in the market, leading to further scrutiny of the stock's current valuation.
What This Means for Investors Based on the GF Value™ assessment, eBay Inc EBAY is currently overvalued. The significant gap between the current market price and the intrinsic value suggests that investors may want to exercise caution, as the stock could be subject to downward pressure if the market correction occurs.
For the complete analysis, visit the eBay Inc EBAY stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is EBAY's GF Score™?
eBay's GF Score™ is 82/100, indicating a strong overall performance based on key fundamental aspects.
Is EBAY overvalued or undervalued?
eBay is currently overvalued, with its market price significantly above the estimated GF Value™.
What is EBAY's P/E ratio?
eBay's P/E (TTM) is 25.0x, which is substantially higher than its 5-year median P/E of 16.0x, indicating a premium valuation.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
In the evolving digital landscape, choosing between the massive infrastructure of Amazon.com (AMZN 1.23%) and the capital-light approach of eBay (EBAY 0.91%) requires a close look at growth and value.
Amazon has transformed into a technology giant that dominates cloud computing and logistics. In contrast, eBay focuses on connecting individual buyers and sellers through its specialized global marketplace. This comparison examines which of these two e-commerce pioneers offers a more compelling opportunity for your portfolio today.
The case for Amazon.comAmazon operates a diverse ecosystem that includes global e-commerce, cloud computing services, and a rapidly expanding advertising business. It serves more than 200 million Prime members and positions itself as a central player among retail stocks by leveraging its logistics network. This business model focuses on providing low prices and fast delivery to a massive global customer base while expanding into additional areas such as healthcare and streaming entertainment.
In its 2025 fiscal year, revenue reached $716.9 billion, representing a growth rate of 12% compared to the previous year. Net income for the fiscal period was $77.7 billion, which resulted in a net margin of close to 10.8%. This performance reflects a steady upward trend as the company scaled its high-margin segments and optimized its fulfillment operations.
As of its December 2025 balance sheet, the debt-to-equity ratio was 0.4x. This metric compares total debt to shareholder equity, helping investors understand how much a company relies on borrowed money for its operations. The current ratio, which measures the ability to cover short-term liabilities with short-term assets, was 1.1x. Free cash flow, or the cash remaining after paying for capital expenditures, was $7.7 billion for the year.
The case for eBayeBay operates a pure-play marketplace that connects millions of buyers and sellers across 190 global markets. Unlike competitors that own their inventory, eBay focuses on a capital-light model that generates revenue through transaction fees and advertising. This strategy targets enthusiasts and collectors who value the platform for unique or pre-owned goods, making it a distinct player in the circular economy. The company avoids the heavy logistics costs associated with traditional retail businesses.
During its 2025 fiscal year, revenue reached $11.1 billion, reflecting a growth rate of 8% over the previous fiscal year. Net income for the period was $2.0 billion, indicating a healthy net margin of approximately 18.3%. While its total revenue is smaller than some peers, its focus on niche markets supports consistent profitability and high levels of efficiency.
As of its December 2025 balance sheet, the debt-to-equity ratio was 1.6x. The current ratio stood at 1.1x, suggesting the company has enough liquid assets to meet its near-term obligations. Free cash flow reached $1.7 billion for the fiscal year. This strong cash generation allows the company to return value to its shareholders while maintaining its global marketplace infrastructure.
Risk profile comparisonAmazon faces intense competition in the cloud and retail sectors from major technology players like Microsoft. Regulatory risks also loom large, as antitrust investigations could force changes to how the company manages its marketplace or handles proprietary customer data. Additionally, massive investments in artificial intelligence infrastructure carry the risk of not generating sufficient returns if demand fails to meet expectations.
eBay deals with significant competition from local marketplaces and AI-driven shopping platforms that could reduce user traffic. Changes in international trade regulations and the removal of tax exemptions for small shipments increase operational costs for its cross-border business. The platform also relies on Alphabet for a large portion of its search traffic, leaving it vulnerable to changes in search engine algorithms.
Valuation comparisoneBay appears to be the more conservative value choice based on Forward P/E estimates, while Amazon trades at a premium to the broader retail sector.
MetricAmazon.comeBaySector BenchmarkForward P/E29.9x18.8x29.6xP/S ratio3.9x4.6xSector benchmark uses the SPDR XLY sector ETF. Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
While Amazon and eBay began in the e-commerce market, choosing which stock to invest in comes down to future growth opportunities. eBay’s strategy is to focus on areas of strength, such as facilitating the sale of used goods and collectibles, while employing artificial intelligence to streamline efficiencies for the organization and its customers.
eBay’s approach is working. Its first quarter sales of $3.1 billion represented impressive 19% year-over-year growth. Its success has attracted the attention of GameStop, which attempted to acquire the retail giant, but eBay rejected the offer. Even so, eBay shares soared to a 52-week high of $119.31 on May 20.
Amazon has expanded far beyond its e-commerce roots. The company’s Amazon Web Services (AWS) division provides infrastructure for cloud computing, and now, artificial intelligence. While upgrading its technology stack to support AI’s need for computing power caused capital expenditures to skyrocket, the bet is paying off.
In the first quarter of 2026, Amazon’s total sales of $181.5 billion was a strong 17% year-over-year increase. Yet that pales in comparison to AWS’ 28% year-over-year growth rate to $37.6 billion.
While eBay’s strategy is excellent, Amazon’s expansion into AI infrastructure is growing at a far faster pace. This suggests Amazon is likely to see outsized growth in the years ahead as AI adoption continues to accelerate. This makes Amazon the better stock to buy in 2026.
A month has gone by since the last earnings report for eBay (EBAY - Free Report) . Shares have added about 8.4% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is eBay due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important catalysts.
eBay Q1 Earnings & Revenues Surpass Estimates, Both Increase Y/YeBay Inc. reported first-quarter 2026 non-GAAP earnings of $1.66 per share, which beat the Zacks Consensus Estimate by 5.06%. The bottom line increased 21.2% year over year.
Net revenues of $3.09 billion beat the Zacks Consensus Estimate by 1.98%. The figure increased 19% year over year on a reported basis and 17% on an FX-neutral basis.
eBay's first-party advertising products generated revenues of $555 million in the reported quarter, up 33% on an as-reported basis and 28% on an FX-neutral basis.
Total advertising offerings yielded $581 million in revenues, representing 2.6% of gross merchandise volume (GMV).
EBAY's active buyer base was 136 million at the end of the first quarter, increasing 1% year over year. Excluding the Tise acquisition, active buyers stood at 135 million.
GMV Details for EBAYGross Merchandise Volume reached $22.2 billion, reflecting an 18% year-over-year increase on a reported basis and 14% on an FX-neutral basis. This indicates strong buyer and seller engagement across the platform, reinforcing eBay’s marketplace strength.
The total GMV is categorized into two parts. U.S. GMV totaled $11.5 billion, accounting for 51.8% of total GMV. The figure rose 26.9% year over year. International GMV was $10.7 billion, accounting for 48.2% of total GMV. The figure increased 10.4% year over year.
EBAY's Q1 Operating DetailsOperating expenses of $1.68 billion grew 31.2% year over year. As a percentage of net revenues, the figure expanded to 54.3% from 49.4% in the year-ago quarter.
The non-GAAP operating margin was 29.4% in the first quarter, contracting 20 basis points (bps) year over year. The decline was modest, indicating stable profitability despite higher investments.
EBAY's Balance Sheet & Cash FlowAs of March 31, 2026, cash and cash equivalents and short-term investments were $3.86 billion, up from $2.92 billion as of Dec. 31, 2025.
Long-term debt decreased sequentially to $5.99 billion at the end of the first quarter of 2026 compared with $6.0 billion in the prior quarter.
Cash flow from operating activities was $970 million in the first quarter, up from $595 million in the previous quarter, reflecting a sequential improvement in cash generation.
Free cash flow increased sequentially to $898 million in the first quarter compared with $478 million in the previous quarter.
The company repurchased $500 million worth of shares and paid out cash dividends of $139 million in the reported quarter. eBay had approximately $2.3 billion remaining under its buyback authorization as of March 31, 2026.
eBay’s Strategic Initiatives and OutlookDuring the quarter, eBay announced an agreement to acquire Depop, expanding its presence in the consumer-to-consumer fashion marketplace. The move is expected to strengthen engagement with younger users.
For the second quarter of 2026, eBay expects revenues in the range of $2.97 billion to $3.03 billion. On an FX-neutral basis, revenue growth is anticipated to be 8%-10%.
GMV for the second quarter is likely to be in the range of $21.3 billion to $21.7 billion. On an FX-neutral basis, GMV growth is anticipated to be 8%-10%.
Non-GAAP earnings per share are anticipated to be between $1.46 and $1.51. GAAP diluted EPS from continuing operations is expected in the range of $1.09 to $1.14.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a flat trend in estimates review.
VGM ScoresCurrently, eBay has a average Growth Score of C, a score with the same score on the momentum front. Charting a somewhat similar path, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for value investors.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook eBay has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
eBay (EBAY 0.91%) has quietly delivered a 24.4% year-to-date rally, upstaging the S&P 500's 7.9% performance. eBay has become the go-to resource for collectors, and its recent acquisition of Depop aims to attract younger, fashion-forward consumers. These catalysts, combined with eBay's growing online advertising segment, can keep the rally going.
Image source: Getty Images.
Online advertising can accelerate profits eBay reported $3.1 billion in first-quarter revenue, which was up by 19% year over year. The company generated $581 million in online ad revenue, which accounted for almost 20% of total revenue. eBay generated only $442 million in online ad revenue in Q1 2025, so the most recent results represent a 31.4% year-over-year improvement.
The high growth rate for online ads can support overall revenue acceleration, but it also sets the stage for higher profit margins. Online ads have higher margins than marketplace transactions, and while eBay didn't see a meaningful net income increase in Q1, the high-margin nature of eBay ads can show up in future quarters.
eBay has 136 million buyers, and the company defines a buyer as anyone who has purchased on eBay at least once in the previous 12 months. Online ads can increase eBay's average revenue per user and set the stage for future growth. The Depop acquisition can also introduce new customers to eBay or re-engage people who haven't bought products on eBay for more than a year.
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Collectibles remain a strong draw eBay's Q1 press release hinted that collectible items will continue to boost gross merchandise volume. Grand View Research projects a steady 6.9% compound annual growth rate (CAGR) for the collectibles market through 2033, and eBay has cemented its leadership in the industry.
eBay mentioned Pokémon multiple times in its press release when discussing results. A rare Pokémon card sold for a record-breaking $16.5 million on eBay's Goldin platform, and it was one of "several landmark sales" on Goldin, according to eBay's Q1 presentation.
The company also hosted a Pokémon Day auction with eBay Live, its interactive livestream shopping experience. eBay Live has generated more engagement and recently expanded into France, Italy, and Canada. The feature lets eBay and its sellers deeply integrate themselves into cultural moments and brand anniversaries that evoke nostalgia while promoting a wide range of products.
Motor vehicle parts and fashion also saw solid year-over-year gains. eBay is well-diversified across multiple product categories instead of relying exclusively on collectibles. This broad range of products gives the e-commerce stock more momentum and can justify an extended rally.
