EBAY INC (EBAY)
US2786421030 - Common Stock
Overall EBAY gets a fundamental rating of 6 out of 10. We evaluated EBAY against 32 industry peers in the Broadline Retail industry. EBAY has an excellent profitability rating, but there are some minor concerns on its financial health. EBAY has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
EBAY had positive earnings in the past year.
EBAY had a positive operating cash flow in the past year.
EBAY had positive earnings in 4 of the past 5 years.
EBAY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EBAY has a Return On Assets of 10.14%. This is amongst the best in the industry. EBAY outperforms 84.38% of its industry peers.
EBAY has a Return On Equity of 37.27%. This is amongst the best in the industry. EBAY outperforms 93.75% of its industry peers.
EBAY's Return On Invested Capital of 13.00% is fine compared to the rest of the industry. EBAY outperforms 78.13% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EBAY is in line with the industry average of 11.47%.
The 3 year average ROIC (11.41%) for EBAY is below the current ROIC(13.00%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.14% | ||
| ROE | 37.27% | ||
| ROIC | 13% |
ROA(3y)19.27%
ROA(5y)19.4%
ROE(3y)52.6%
ROE(5y)75.83%
ROIC(3y)11.41%
ROIC(5y)11.77%
1.3 Margins
EBAY has a better Profit Margin (19.68%) than 96.88% of its industry peers.
In the last couple of years the Profit Margin of EBAY has remained more or less at the same level.
EBAY has a Operating Margin of 24.16%. This is amongst the best in the industry. EBAY outperforms 96.88% of its industry peers.
EBAY's Operating Margin has improved in the last couple of years.
EBAY's Gross Margin of 72.02% is amongst the best of the industry. EBAY outperforms 90.63% of its industry peers.
In the last couple of years the Gross Margin of EBAY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.16% | ||
| PM (TTM) | 19.68% | ||
| GM | 72.02% |
OM growth 3Y-10.34%
OM growth 5Y2.78%
PM growth 3Y-24.55%
PM growth 5Y-1.32%
GM growth 3Y-3.38%
GM growth 5Y-1.24%
2. Health
2.1 Basic Checks
EBAY has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, EBAY has less shares outstanding
EBAY has less shares outstanding than it did 5 years ago.
The debt/assets ratio for EBAY has been reduced compared to a year ago.
2.2 Solvency
EBAY has an Altman-Z score of 4.86. This indicates that EBAY is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.86, EBAY is doing good in the industry, outperforming 78.13% of the companies in the same industry.
The Debt to FCF ratio of EBAY is 5.33, which is a neutral value as it means it would take EBAY, 5.33 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of EBAY (5.33) is comparable to the rest of the industry.
EBAY has a Debt/Equity ratio of 1.14. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.14, EBAY is not doing good in the industry: 71.88% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 5.33 | ||
| Altman-Z | 4.86 |
ROIC/WACC1.61
WACC8.1%
2.3 Liquidity
EBAY has a Current Ratio of 1.25. This is a normal value and indicates that EBAY is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.25, EBAY is in line with its industry, outperforming 46.88% of the companies in the same industry.
A Quick Ratio of 1.25 indicates that EBAY should not have too much problems paying its short term obligations.
The Quick ratio of EBAY (1.25) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
EBAY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.61%, which is quite good.
Measured over the past years, EBAY shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.72% on average per year.
Looking at the last year, EBAY shows a small growth in Revenue. The Revenue has grown by 2.05% in the last year.
EBAY shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.17% yearly.
EPS 1Y (TTM)10.61%
EPS 3Y6%
EPS 5Y12.72%
EPS Q2Q%15.53%
Revenue 1Y (TTM)2.05%
Revenue growth 3Y4.37%
Revenue growth 5Y3.17%
Sales Q2Q%3.04%
3.2 Future
Based on estimates for the next years, EBAY will show a small growth in Earnings Per Share. The EPS will grow by 7.05% on average per year.
Based on estimates for the next years, EBAY will show a small growth in Revenue. The Revenue will grow by 3.25% on average per year.
EPS Next Y16.22%
EPS Next 2Y12.1%
EPS Next 3Y10.76%
EPS Next 5Y7.05%
Revenue Next Year2.16%
Revenue Next 2Y2.67%
Revenue Next 3Y3.09%
Revenue Next 5Y3.25%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
EBAY is valuated correctly with a Price/Earnings ratio of 13.09.
EBAY's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 28.96. EBAY is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 11.53, the valuation of EBAY can be described as reasonable.
Based on the Price/Forward Earnings ratio, EBAY is valued a bit cheaper than the industry average as 62.50% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.82, EBAY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.09 | ||
| Fwd PE | 11.53 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as EBAY.
EBAY's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.13 | ||
| EV/EBITDA | 10.15 |
4.3 Compensation for Growth
EBAY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
EBAY has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.81
PEG (5Y)1.03
EPS Next 2Y12.1%
EPS Next 3Y10.76%
5. Dividend
5.1 Amount
EBAY has a Yearly Dividend Yield of 1.73%.
EBAY's Dividend Yield is rather good when compared to the industry average which is at 4.82. EBAY pays more dividend than 81.25% of the companies in the same industry.
EBAY's Dividend Yield is slightly below the S&P500 average, which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
5.2 History
On average, the dividend of EBAY grows each year by 16.26%, which is quite nice.
EBAY has been paying a dividend for over 5 years, so it has already some track record.
EBAY has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)16.26%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
26.44% of the earnings are spent on dividend by EBAY. This is a low number and sustainable payout ratio.
EBAY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP26.44%
EPS Next 2Y12.1%
EPS Next 3Y10.76%
EBAY INC
NASDAQ:EBAY (11/21/2024, 8:23:49 PM)
After market: 61.41 0 (0%)61.41
+0.59 (+0.97%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap29.42B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.09 | ||
| Fwd PE | 11.53 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.81
PEG (5Y)1.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.14% | ||
| ROE | 37.27% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 24.16% | ||
| PM (TTM) | 19.68% | ||
| GM | 72.02% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)10.61%
EPS 3Y6%
EPS 5Y
EPS Q2Q%
EPS Next Y16.22%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.05%
Revenue growth 3Y4.37%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y