eBay "buy," target price reduced

17.07.08 - Stifel Nicolaus

NNEW YORK, July 17 (newratings.com) ? Analysts at Stifel Nicolaus & Company maintain their "buy" rating on eBay Inc (EBAY), while raising their estimates for the company. The target price has been reduced from $35 to $33.

In a research note published this morning, the analysts mention that the company has reported decent results for the latest quarter amid a recession in its largest market. Although eBay?s core business is maturing, the company is effectively deploying its capital into its growth areas and for reducing its shares outstanding, the analysts say. The probability of the company generating accelerating growth has been reduced, Stifel Nicolaus & Company adds. The EPS estimates for FY08 and FY09 have been raised from $1.74 to $1.76 and from $1.94 to $1.97, respectively.