|Bid||37.92 x 1100|
|Ask||38.14 x 27000|
|Day's range||37.32 - 38.22|
|52-week range||33.53 - 42.00|
|Beta (5Y monthly)||1.24|
|PE ratio (TTM)||18.22|
|Earnings date||20 Apr 2020 - 26 Apr 2020|
|Forward dividend & yield||0.64 (1.72%)|
|Ex-dividend date||27 Feb 2020|
|1y target est||38.91|
Wall Street edged lower on Friday as uncertainties surrounding the coronavirus epidemic and downbeat economic data put a damper on investor sentiment. While the S&P 500 and the Nasdaq were down only modestly, the industrials-heavy Dow suffered a larger decline.
EBay expects to post first-quarter adjusted profit of between 72 cents and 75 cents, while analysts are expecting 72 cents, according to Refinitiv data. The outlook reflects the benefit of share buybacks and investment timing, offset by the impact of the StubHub sale, the company said. In November 2019, the company agreed to sell StubHub to Viagogo Ltd for $4.05 billion nearly a year after the ecommerce major came under pressure from activist investors to hive off some of its businesses.
Google will on Wednesday seek to overturn the first of three hefty European Union antitrust fines at Europe's second-highest court in a landmark case that could determine how EU enforcers take on U.S. tech giants for abuse of market power. EU regulators said this penalty was for Google's favouring its own price comparison shopping service to the disadvantage of smaller European rivals. The EU has fined Google a total of 8.25 billion euros in three separate cases, including one involving its Android smartphone operating system.
ICE's shares, which fell as much as 6.5% during regular trading on Thursday, were up nearly 3% after the bell, following the news, while eBay's stock fell nearly 7%. ICE confirmed on Tuesday it had approached eBay to explore "a range of potential opportunities," following reports it had mulled a more than $30 billion takeover of the online marketplace, but that eBay was unresponsive. "I didn't think it's particularly shocking and outrageous," Chief Executive Officer Jeffrey Sprecher told analysts on a post-earnings call.
(Bloomberg) -- Intercontinental Exchange Inc. Chief Executive Officer Jeff Sprecher spent almost 40 minutes explaining why the firm was interested in a tie-up with EBay Inc. Investors weren’t persuaded. Late Thursday, the owner of the New York Stock Exchange said it’s giving up the pursuit.“Based on investor conversations following today’s ICE earnings call, ICE has decided to cease exploring strategic opportunities with EBay,” the exchange operator said in a statement.EBay “was not interested” in a deal, Sprecher had told analysts on ICE’s earnings call earlier in the day. “Curiosity, and the fact that we know people there, led us to open a dialogue. And that’s kind of the end of the story.”Analysts spent most of the call’s Q&A portion asking Sprecher about ICE’s broader deal strategy in light of its interest in EBay. He said a press report about talks with EBay prompted speculation about an imminent deal, spurring his company to clarify that EBay hadn’t engaged “in a meaningful way” and the companies weren’t in negotiations.ICE shares fell 3% during regular trading Thursday, a decline that followed the 7.5% slump two days earlier, when its EBay approach was reported. They gained 2.7% at 4:41 p.m. in after-hours trading.Sprecher, on Thursday’s call, said that ICE, which owns the New York Stock Exchange, saw similarities in the two businesses as marketplaces that collect and organize data.“ICE has a long history of creating shareholder value and we’ve done so by thinking outside the box and by engaging in value-accretive transactions,” he said. Looking ahead, it’s most likely to consider deals for large, complex companies that can be reinvigorated, or small firms that would benefit from ICE’s larger platform.The EBay approach had many analysts scratching their heads. The potential link-up has no clear rationale, Piper Sandler Cos. said, while Oppenheimer & Co. voiced a widespread reaction when headlines about the talks first appeared: EBay is not a “conventional” M&A target for an exchange.To contact the reporter on this story: Lananh Nguyen in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Michael J. Moore at email@example.com, Daniel TaubFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Intercontinental Exchange Inc., the owner of the New York Stock Exchange, said it stopped trying to make a deal for EBay Inc.The potential acquisition left analysts questioning Intercontinental’s rationale in seeking to own the consumer online marketplace.“Based on investor conversations following today’s ICE earnings call, ICE has decided to cease exploring strategic opportunities with eBay,” the company said Thursday in a statement.EBay shares fell almost 7% in extended trading after the announcement.To contact the reporter on this story: Andrew Pollack in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: Jillian Ward at email@example.com, Alistair BarrFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
eBay (EBAY) shares have started gaining and might continue moving higher in the near term, as indicated by solid earnings estimate revisions.
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Confirming that it had approached eBay, Intercontinental Exchange said that the company had not engaged with the offer in a 'meaningful' way.
(Bloomberg Opinion) -- You know how things go with eBay Inc. You go online, ask some seller a question about that highly collectible Beanie Baby, they ignore you, and then suddenly people think you’ve lost your head over a frivolous purchase. Intercontinental Exchange Inc. must be feeling this way after the Wall Street Journal reported that the owner of the New York Stock Exchange had approached the online sales site about a takeover. Such a bid would likely be well in excess of eBay’s current $30 billion valuation. ICE “approached eBay to explore a range of potential opportunities,” according to a company statement, but eBay “has not engaged in a meaningful way.” ICE would primarily be interested in eBay’s business-to-consumer marketplace, according to the Journal. It’s not that eBay lacks attractions. For all that ICE wears smart business attire next to eBay’s Jagged Little Pill vibe, the online auctions company is actually the older business of the two — even if the heady days of the dot-com bubble have given way to an afterlife as a punching bag for activist shareholders Carl Icahn, Elliott Management Corp. and Starboard Value LP.Return on invested capital has clocked in at an average 14.5% over the past five years, well ahead of ICE’s 8.1%. Even after the spinoff of PayPal Holdings Inc. in 2014 shrank the business, operating cashflows have been consistently ahead of those at ICE despite the fact that its market capitalization is about 40% smaller.The multiple underpinning that valuation is a pedestrian 12.4 times blended forward 12-month earnings, too, compared with 22.2 at ICE. That would make an offer paid for via shares or an equity raising — likely the only way ICE could finance such a large deal, given its spare $3.3 billion of annual Ebitda — an attractive option for the exchange’s shareholders.At the same time, it’s hard to see why ICE should be a natural home for eBay. Both businesses are, in the broadest sense, “marketplaces.” But that doesn’t mean ICE ought to be going round buying up real estate in European town centers because they host things that are also known as marketplaces.In everything but the dictionary sense, there couldn’t be a greater difference between the sort of market operated by ICE — where the main participants are huge financial institutions, trades happen within milliseconds, and all but a fraction of transactions are on the secondary market — and eBay’s slower-paced online bazaar, where around four-fifths of activity is business-to-consumer, and business-to-business sales are almost irrelevant.As the owners of a stock exchange, you’d hope that ICE is well aware that most takeovers end up destroying shareholder value. The only exceptions are generally deals where the opportunities to save money by cutting costs and finding synergies are substantial, or where the target owns some vital expertise or intellectual property. If that is the case, it’s frankly a bit concerning. While gross merchandise volume on eBay’s platform amounted to some $90 billion in 2018, the New York Stock Exchange alone sees annual turnover of more than $8.22 trillion, not to mention the ICE’s substantial commodities and fixed income businesses. If there’s something material that ICE has to learn from eBay, that doesn’t say much about the exchange’s business.Exchanges are a small and incestuous world. With recent takeovers such as CBOE Global Markets Inc.’s 2016 purchase of Bats Global Markets Inc. and CME Group Inc.’s purchase of NEX Group Plc, there are precious few obvious deals left — especially as mooted Hong Kong-London, London-Frankfurt and Singapore-Sydney tie-ups in recent years ended up being rejected or blocked. That’s a problem for an industry that’s not doing much better than covering its cost of capital and wants to find new sources of income.Purchasing exchange-adjacent businesses is one option, as demonstrated by London Stock Exchange Group Plc’s purchase of Refinitiv, a financial-data company and competitor to Bloomberg LP. But while that deal may have made some sense given how much money exchanges make from data services, it’s hard to make the same argument for eBay — unless ICE really does want to get into clearing Beanie Baby futures.We’ve all gone and bought something online that we later regret. ICE should avoid doing so in this instance.To contact the author of this story: David Fickling at firstname.lastname@example.orgTo contact the editor responsible for this story: Rachel Rosenthal at email@example.comThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.David Fickling is a Bloomberg Opinion columnist covering commodities, as well as industrial and consumer companies. He has been a reporter for Bloomberg News, Dow Jones, the Wall Street Journal, the Financial Times and the Guardian.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The Nasdaq hit a record high on Tuesday and the S&P 500 posted its biggest one-day gain in about six months as fears of a heavy economic impact from the coronavirus outbreak waned after China's central bank intervened. The Dow notched its biggest single-day rise in more than five months, as the stock market recovered from steep losses in the prior week.
The statement came after people familiar with the matter said ICE discussed a potential takeover of eBay. The acquisition would exceed $30 billion and represent a substantial departure from ICE's focus on financial markets. The move would call on ICE's technological expertise in running markets to extract efficiencies from eBay's marketplace platform, which connects buyers and sellers of goods around the world.
(Bloomberg) -- Activist investor Starboard Value is ramping up pressure on EBay Inc. to separate its classifieds business and implement more aggressive operational targets, arguing the e-commerce company has not done enough to improve its performance.The New York-based hedge fund, which owns more than 1% of the company, wrote in a letter to the management and board that EBay hasn’t done enough in the nearly 12 months since agreeing to review its classifieds business along with ticket reselling business, StubHub, which was sold last year.“In order to achieve the optimal outcome, we believe classifieds must be separated, and a more comprehensive and aggressive operating plan must be put in place to drive profitable growth in the core marketplace business,” wrote Peter Feld, Starboard managing member, in the letter.EBay responded in a statement that it has taken steps to improve its performance, including new board appointments. It said it also implemented its first dividend while repurchasing $5 billion in common stock, among other measures.Last March, EBay agreed to appoint two new directors in a settlement with Starboard and fellow activist, Elliott Management Corp. It also agreed to appoint a third director at a later date and to run a review of its portfolio.“Our board and management team have implemented changes based on investor input and have taken significant actions to deliver long-term shareholder value and strengthen the business,” EBay said. “Through that lens, we will review Starboard’s letter and perspectives as we continue to rigorously review our business and opportunities for growth and value creation.”Wenig, StubHubSince then, the company’s Chief Executive Officer Devin Wenig stepped down in September and the company sold StubHub in November for more than $4 billion to Viagogo Entertainment Inc. Despite these efforts, EBay’s shares have fallen almost 2% in the past year. They were up 0.2% to $34.46 at 1:59 p.m. Tuesday in New York trading, giving the company a market value of more than $27 billion.Feld said he recognized the company was undergoing a great deal of transition.“However, we have been disappointed with the speed and lack of urgency with which the operating and strategic reviews have been conducted since their commencement in March,” he said. “We believe management and the board must drive the process to conclusion and commit to a separation of classifieds.”(Updates with EBay’s response in fourth paragraph)To contact the reporter on this story: Scott Deveau in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Liana Baker at email@example.com, Molly Schuetz, Michael HythaFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Investing.com – Intercontinental Exchange, the owner of the NYSE, has made a bid for auction site eBay (NASDAQ:EBAY), The Wall Street Journal reported Tuesday.
Last week saw the newest yearly earnings release from eBay Inc. (NASDAQ:EBAY), an important milestone in the company's...