Analyst Bernie McTernan of Needham reiterated a Buy rating on eBay (EBAY – Research Report), boosting the price target to $78.00.
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Bernie McTernan has given his Buy rating due to a combination of factors, primarily driven by eBay’s strong performance in the first quarter and promising guidance for the second quarter. The company has demonstrated an ability to outperform its peers in the ecommerce and discretionary sectors, with its Gross Merchandise Volume (GMV) surpassing expectations and showing growth in the first quarter.
eBay’s strategy of focusing on non-new, in-season products has been a key differentiator, contributing to a 6% growth in its focus categories. This differentiation supports the view that eBay deserves to trade at the higher end of its valuation range. However, McTernan notes that future positive equity performance will likely depend on revisions to current estimates.
In another report released today, Citi also reiterated a Buy rating on the stock with a $79.00 price target.