Innovation Is Not Helping EBay Inc. (NASDAQ:EBAY)

Posted by Chris Bell December 6, 2013 0 Comment 1677 views

eBay Inc. (NASDAQ:EBAY)’s online platform might be a happening place for auctioneers and buyers to avail great discounts and value for their money on many of leading merchandize but the stock of eBay Inc. is certainly not-so-happening investment. The stock has traded flat year to date with less than a percent increase in its price.

EBay Inc. (NASDAQ:EBAY)’s stock has significantly underperformed the broader indices, S&P 500 (INDEXSP:.INX) and Dow Jones Industrial Average (INDEXDJX:.DJI) which have delivered over 25% and 20.5% returns year to date, respectively.

Analysts’ Call

Earlier this week the stock of eBay Inc. (NASDAQ:EBAY) was downgraded to ‘equal weight’ by equities research analysts at Evercore. More recently analysts at CRT Capital also initiated coverage on the stock of the company with a ‘fair value’ rating and price objective of $58 which suggest potential upside from its previous closing of $51.41.

Though the current week’s recommendations are not so positive for the stock of eBay Inc. (NASDAQ:EBAY), overall the analysts maintain a ‘buy’ rating with a mean price target of $61.92. Of 39 analysts following the stock, 14 have given a rating of ‘strong buy’; 19 have given rating of ‘buy’ and 6 analysts maintain a ‘hold’ rating for the stock.

eBay, Innovations and Digital Comics

While eBay Inc. (NASDAQ:EBAY)’s stock prices are not lifting, there is no denial about the continuous innovations being pursued by this online auctioneer to change the shopping experience for buyers as well as for sellers and even for window shoppers.

Earlier we discussed about digital storefronts using connected glass and mobile technology that allowed Sony Corporation (ADR) (NYSE:SNE), Fifth & Pacific Companies Inc. (NYSE:FNP) and other retailers to offer range of products on a large glass windows. And now eBay Inc. is partnering with comiXology to offer a dedicated marketplace for digital comics which will allow to browse and view collections by character.

About Chris Bell

Chris Bell is an investing reporter for GDP Insider. Chris covers financial markets and Wall Street, concentrating on developments affecting individual investors and their portfolios. Chris is also over consumer reporter and covers a wide variety of issues ranging from housing to immigration to urban poverty. Chris graduated from the University of Scranton with a degree in Communication and Philosophy. Chris's diligent investigations earned him the honor of being named "Best Reporter" once by the Headliners Foundation of Texas and once by the Houston Press Club.

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