Investors Purchase Large Volume of Put Options on eBay (EBAY)
eBay Inc. (NASDAQ:EBAY) was the target of some unusual options trading on Wednesday. Stock traders bought 2,194 put options on the company. This is an increase of 231% compared to the average daily volume of 663 put options.
eBay (EBAY) opened at $37.50 on Friday. The company has a debt-to-equity ratio of 0.82, a current ratio of 2.46 and a quick ratio of 2.46. The company has a market capitalization of $39.07 billion, a P/E ratio of 23.38, a P/E/G ratio of 2.87 and a beta of 1.36.
eBay (NASDAQ:EBAY) last announced its quarterly earnings results on Wednesday, October 18th. The e-commerce company reported $0.48 EPS for the quarter, hitting the Zacks’ consensus estimate of $0.48. The business had revenue of $2.41 billion for the quarter, compared to analysts’ expectations of $2.37 billion. eBay had a return on equity of 15.69% and a net margin of 80.45%. The business’s quarterly revenue was up 8.7% on a year-over-year basis. During the same period in the previous year, the firm earned $0.45 EPS. analysts predict that eBay will post 1.65 EPS for the current year.
eBay declared that its board has initiated a stock buyback plan on Thursday, July 20th that allows the company to buyback $3.00 billion in outstanding shares. This buyback authorization allows the e-commerce company to repurchase up to 7.5% of its shares through open market purchases. Shares buyback plans are usually a sign that the company’s board believes its shares are undervalued.
A number of equities research analysts recently commented on EBAY shares. UBS Group AG (USA) set a $40.00 price target on eBay and gave the company a “buy” rating in a research report on Friday, July 21st. Maxim Group increased their price target on eBay from $36.00 to $40.00 and gave the company a “buy” rating in a research report on Thursday, July 13th. Credit Suisse Group set a $44.00 price target on eBay and gave the company a “buy” rating in a research report on Tuesday, July 11th. Aegis reaffirmed a “buy” rating and set a $42.00 target price on shares of eBay in a research report on Monday, July 17th. Finally, Benchmark Co. raised their target price on eBay from $39.00 to $40.00 and gave the company a “buy” rating in a research report on Wednesday, July 19th. Two equities research analysts have rated the stock with a sell rating, twenty-two have given a hold rating and seventeen have issued a buy rating to the company. The stock has an average rating of “Hold” and an average target price of $38.45.
In related news, SVP Stephen Fisher sold 69,406 shares of the stock in a transaction on Friday, October 20th. The stock was sold at an average price of $37.63, for a total value of $2,611,747.78. Following the completion of the sale, the senior vice president now directly owns 144,047 shares of the company’s stock, valued at approximately $5,420,488.61. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, SVP Marie Oh Huber sold 72,417 shares of the stock in a transaction on Monday, October 23rd. The shares were sold at an average price of $37.53, for a total value of $2,717,810.01. Following the completion of the sale, the senior vice president now directly owns 101,589 shares of the company’s stock, valued at $3,812,635.17. The disclosure for this sale can be found here. Insiders sold a total of 201,655 shares of company stock valued at $7,486,428 over the last three months. 6.78% of the stock is currently owned by insiders.
Several institutional investors and hedge funds have recently bought and sold shares of EBAY. BlackRock Inc. increased its stake in shares of eBay by 2,424.9% during the first quarter. BlackRock Inc. now owns 62,409,458 shares of the e-commerce company’s stock valued at $2,095,089,000 after buying an additional 59,937,723 shares during the period. Glenview Capital Management LLC increased its stake in shares of eBay by 442.0% during the second quarter. Glenview Capital Management LLC now owns 8,905,922 shares of the e-commerce company’s stock valued at $310,995,000 after buying an additional 7,262,862 shares during the period. Harding Loevner LP purchased a new position in shares of eBay during the second quarter valued at approximately $128,878,000. Arrowstreet Capital Limited Partnership increased its stake in shares of eBay by 1,077.4% during the second quarter. Arrowstreet Capital Limited Partnership now owns 3,779,300 shares of the e-commerce company’s stock valued at $131,973,000 after buying an additional 3,458,300 shares during the period. Finally, Janus Henderson Group PLC increased its stake in shares of eBay by 134.5% during the second quarter. Janus Henderson Group PLC now owns 5,951,860 shares of the e-commerce company’s stock valued at $207,826,000 after buying an additional 3,414,163 shares during the period. 87.23% of the stock is currently owned by hedge funds and other institutional investors.
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eBay Company Profile
eBay Inc (eBay) is a commerce company, which operates through its Marketplace, StubHub and Classifieds platforms. The Company connects buyers and sellers around the world. Its platforms enable sellers around the world to organize and offer their inventory for sale, and buyers to find and purchase it.
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