eBay Inc. Fourth Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component eBay, Inc. (NASDAQ:EBAY) will unveil its latest earnings on Wednesday, January 18, 2012. eBay is an Internet company that, together with its subsidiaries, provides online marketplaces for the sale of goods and services. It also provides other online commerce platforms, online payment solutions, and communication offerings to a diverse community of individuals and businesses.

eBay, Inc. Earnings Preview Cheat Sheet.

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 55 cents per share, a rise of 22.2% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from 51 cents. Between one and three months ago, the average estimate moved up. It has been unchanged at 55 cents during the last month. For the year, analysts are projecting net income of $1.72 per share, a rise of 14.7% from last year.

Past Earnings Performance: The company is looking to beat analyst estimates for the third quarter in a row. Last quarter, it beat estimates with profit of 42 cents per share against the mean estimate of 40 cents. In the prior quarter, the company reported net income of 40 cents.

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Wall St. Revenue Expectations: On average, analysts predict $3.32 billion in revenue this quarter, a rise of 32.8% from the year ago quarter. Analysts are forecasting total revenue of $11.59 billion for the year, a rise of 26.5% from last year’s revenue of $9.16 billion.

Analyst Ratings: 15 out of 27 analysts surveyed (55.6%) have a buy rating on eBay.. This is below the mean analyst rating of 10 competitors, which average 81.2% buy ratings.

A Look Back: In the third quarter, profit rose 13.6% to $490.5 million (37 cents a share) from $431.9 million (33 cents a share) the year earlier, exceeding analyst expectations. Revenue rose 31.8% to $2.97 billion from $2.25 billion.

Key Stats:.

Revenue has risen the past four quarters. Revenue rose 24.6% in the second quarter from the year earlier, climbed 15.9% in the first quarter from the year-ago quarter and 5.2% in the fourth quarter of the last fiscal year.

The increase in profit in the third quarter came after net income fell in the previous quarter. In the second quarter, net income fell 31.2%.

Competitors to Watch: Amazon.com, Inc. (NASDAQ:AMZN), GSI Commerce, Inc. (NASDAQ:GSIC), Liquidity Services, Inc. (NASDAQ:LQDT), Google Inc. (NASDAQ:GOOG), Overstock.com, Inc. (NASDAQ:OSTK), BIDZ.com, Inc. (NASDAQ:BIDZ), Gaiam, Inc. (NASDAQ:GAIA), U.S. Auto Parts Network, Inc. (NASDAQ:PRTS), HSN, Inc. (NASDAQ:HSNI), Wal-Mart (NYSE:WMT) and Target (NYSE:TGT).

Stock Price Performance: During October 17, 2011 to January 12, 2012, the stock price had fallen $1.64 (-4.9%) from $33.22 to $31.58. The stock price saw one of its best stretches over the last year between January 28, 2011 and February 8, 2011 when shares rose for eight-straight days, rising 7.7% (+$2.33) over that span. It saw one of its worst periods between March 8, 2011 and March 16, 2011 when shares fell for seven-straight days, falling 6.1% (-$1.94) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks).

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To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com