eBay Prepares for Q1 2025 Earnings Report Amid Optimism

With a market cap of $31 billion, eBay Inc. (EBAY) serves as a major global marketplace platform connecting buyers and sellers. Headquartered in San Jose, California, the company operates its online marketplace at www.ebay.com, along with localized counterparts, off-platform marketplaces, and a suite of mobile applications.

Upcoming Earnings Expectations

eBay is set to release its Q1 2025 earnings on Wednesday, April 30, after the market closes. Analysts project that eBay will report adjusted earnings of $1.09 per share, reflecting a 6.9% increase from last year’s $1.02 per share in the same quarter. Notably, in the past four quarters, the company has exceeded Wall Street’s bottom-line expectations in three instances, with one occasion of a miss.

2025 and 2026 Projections

For the fiscal year 2025, analysts estimate that eBay will achieve an adjusted EPS of $4.23, a 7.6% increase from the $3.93 reported in fiscal 2024. Looking ahead to fiscal 2026, further earnings growth is anticipated, with projections indicating a 10.2% year-over-year increase to $4.66 per share.

Stock Performance Review

Over the past year, eBay stock has surged by 30%, significantly outpacing the S&P 500 Index’s growth of 6% and the Consumer Discretionary Select Sector SPDR Fund’s increase of 10.3% during the same timeframe.

Recent Earnings Release

Shares of eBay fell by 8.2% following the announcement of its Q4 2024 results on February 26. The company reported revenue of $2.6 billion, which met topline expectations, and experienced an operating margin expansion to 21.1%, up 510 basis points from the year-ago quarter. Adjusted EPS also saw a notable rise of 16.8% year-over-year to $1.25. For Q1 2025, eBay anticipates revenue between $2.52 billion and $2.56 billion, with adjusted EPS expected to fall between $1.32 and $1.36.

Analysts’ Consensus

Analysts maintain a generally optimistic outlook on eBay, assigning it a “Moderate Buy” rating overall. Out of 29 analysts covering the stock, the opinions include eight “Strong Buys,” one “Moderate Buy,” 17 “Holds,” one “Moderate Sell,” and two “Strong Sells.” Currently, the stock trades above the average price target of $65.85.

On the date of publication, Sohini Mondal did not hold positions in any of the securities mentioned in this article. All information and data in this article serve solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.

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