JP Morgan reiterates its Neutral rating on eBay EBAY and reduces its price target from $41 to $39.
JP Morgan notes, "We are lowering estimates on EBAY to adjust for weaker EUR and GBP currencies relative to the USD as well as the potential for macro softness overseas. Our 2012 revenue comes down ~2% and PF EPS is ~3% lower (each down ~1% adjusting
for FX only). In addition to the negative effect of currency translation, we note that a
weaker EUR/USD rate also hurts cross border trade activity in the Marketplace business which in turn negatively impacts payments revenue as well. Cross border
trade represents 20% of Marketplace GMV and ~25% of PayPal TPV, and carries
higher fees."
EBAY closed at $39.76 on Tuesday.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in