eBay "buy," target price raised - update

19.07.07 - Stifel Nicolaus

NEW YORK, July 19 (newratings.com) - Analyst George Askew of Stifel Nicolaus & Company reiterates his "buy" rating on eBay Inc (EBAY), while raising his estimates for the company. The target price has been raised from $37 to $39.

In a research note published this morning, the analyst mentions that eBay is structuring its tools to improve merchant price and trust, at a cost that is fairly competitive for the merchant when compared with other alternatives. The company has achieved trailing twelve month free cash flow of $1.93 billion, the analyst says. The EPS estimates for 2007 and 2008 have been raised from $1.34 to $1.37 and from $1.53 to $1.57, respectively.