Susquehanna raises eBay stock price target to $70 from $65

On Monday, Susquehanna maintained a Neutral rating on eBay stock (NASDAQ:EBAY) but increased its price target to $70.00, up from the previous $65.00. The adjustment follows eBay’s first-quarter earnings report, which surpassed expectations, with impressive gross profit margins of 71.85% and a strong year-to-date return of 11.24%. Additionally, the company observed that quarter-to-date trends in the second quarter have been generally robust. According to InvestingPro data, 10 analysts have recently revised their earnings estimates upward for the upcoming period.

eBay’s management also confirmed its full-year outlook, signaling confidence in the company’s performance. The company’s stock is currently trading near its 52-week high of $71.61, reflecting strong market sentiment and delivering an impressive 40.74% return over the past year. However, they cautioned that substantial macroeconomic factors and tariff-related issues could potentially result in the year’s results hitting the lower end of their projected range. This could also pose challenges for eBay in achieving its financial targets.

The company’s financial health appears stable, with first-quarter results indicating a positive trajectory. InvestingPro’s analysis confirms this assessment, assigning eBay a "GOOD" overall financial health score. The upward adjustment in the price target by Susquehanna reflects a recognition of eBay’s solid performance in the face of uncertain economic conditions. For deeper insights into eBay’s financial metrics and growth potential, investors can access the comprehensive Pro Research Report available on InvestingPro.

Despite the potential headwinds mentioned by eBay’s management, Susquehanna’s updated price target suggests a level of optimism about the company’s ability to navigate the current market environment. The firm’s analyst cited the company’s first-quarter performance and current quarter trends as the basis for the revised price target.

Investors will likely monitor how eBay maneuvers through the anticipated macroeconomic and tariff challenges as the year progresses. The company’s ability to stay within its full-year outlook range will be a key factor in assessing its resilience and strategic adaptability in a fluctuating economic landscape.

In other recent news, eBay reported first-quarter 2025 earnings that exceeded analysts’ expectations, with earnings per share (EPS) of $1.38 compared to the forecasted $1.34, and revenue of $2.6 billion against an anticipated $2.55 billion. The company’s Gross Merchandise Volume (GMV) also grew nearly 2% to $18.8 billion, driven by innovations like AI-powered listing tools and the expansion of its Authenticity Guarantee in fashion. Needham raised eBay’s stock price target to $78, maintaining a Buy rating, citing the company’s strong performance and potential for higher valuation driven by earnings estimate revisions. Stifel also adjusted eBay’s price target upward to $62 from $61, maintaining a Hold rating, noting the company’s ability to navigate economic uncertainties due to its focus on refurbished goods. Meanwhile, JPMorgan increased its price target for eBay shares to $60 from $54, keeping a Neutral rating, highlighting eBay’s consistent GMV growth and robust shareholder returns. eBay’s advertising segment has shown robust performance, now representing 2.4% of GMV penetration, with no observed impact from China-based advertisers. These developments indicate eBay’s strategic focus on innovation and customer engagement as it continues to adapt to the evolving ecommerce landscape.

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