Group 1 - The article discusses the impact of the pandemic on the economy during 2020 and 2021, highlighting the influx of cheap cash from Western central banks and government programs aimed at economic stabilization [1] - It emphasizes the importance of in-depth research on various investment vehicles such as REITs, mREITs, Preferreds, BDCs, MLPs, and ETFs, suggesting that investors can benefit from a trial service to access this information [1] Group 2 - The article includes a disclosure regarding the author's beneficial long position in NOC shares, indicating a personal investment interest [1] - It clarifies that past performance is not indicative of future results and that no specific investment recommendations are provided [2]

I last covered eBay (NASDAQ: EBAY ) in August, and I reaffirmed a Hold rating, primarily because the stock was certainly fairly valued (or even moderately overvalued) at the time. I mentioned I expected little upside moving forward, and this has largelyOliver Rodzianko is an investment analyst specializing in the technology sector, grounded in timeless value principles. His expertise spans AI, semiconductors, software, and renewable energy, with a focus on companies that demonstrate resilient management and ...

Core Insights - Walstreamz is expanding its e-commerce solutions with the launch of Ecom Private Label, eBay Automation, and TikTok Automation services aimed at empowering entrepreneurs to generate consistent returns without constant oversight [1] Group 1: E-commerce Solutions - The Ecom Private Label service offers a turnkey option for clients to produce and market their branded goods on major e-commerce platforms, allowing them to focus on marketing and sales while Walstreamz handles product sourcing, branding, and packaging [2] - Walstreamz manages the entire fulfillment process for clients, enabling them to quickly launch an online business and maximize their reach [3] Group 2: eBay Automation - The eBay Automation service provides tools and tactics for individuals looking to increase their eBay sales, including order fulfillment, inventory tracking, customer support, and automated listing management [4] - By automating these tasks, clients can enhance productivity and sales volume on eBay, with Walstreamz ensuring customer satisfaction through comprehensive service management [4] Group 3: TikTok Automation - Walstreamz recognizes TikTok's potential for sales and marketing, offering a TikTok Automation service that helps clients create engaging content, improve their profiles, and grow their following [5] - This service enables clients to leverage TikTok's reach and algorithm to drive traffic and revenue to their online stores [5] Group 4: Additional Services - Walstreamz also provides Amazon FBA automation, which includes product procurement, inventory control, fulfillment, and customer service, allowing clients to tap into Amazon's vast customer base [8] - The Walmart Dropshipping automation service allows customers to sell products on Walmart without maintaining inventory, managing order fulfillment, shipping, and product sourcing to increase audience reach and revenue [9]

Revenue and Profit Performance - Net revenues for Q3 2024 increased to $2.576 billion, up from $2.500 billion in Q3 2023[11] - Gross profit for Q3 2024 rose to $1.849 billion, compared to $1.795 billion in Q3 2023[11] - Income from operations for Q3 2024 was $595 million, up from $455 million in Q3 2023[11] - Net income for Q3 2024 was $634 million, compared to $1.305 billion in Q3 2023[11] - Comprehensive income for Q3 2024 was $701 million, compared to $1.317 billion in Q3 2023[12] - Net income for the nine months ended September 30, 2024, was $1.296 billion, compared to $2.043 billion in the same period in 2023[17] - Net revenues for the three months ended September 30, 2024 increased by 3% to $2.576 billion, compared to $2.500 billion in the same period in 2023[181] - Net revenues for the nine months ended September 30, 2024 increased by 2% to $7.704 billion, compared to $7.550 billion in the same period in 2023[181] - Net revenues increased 3% to $2,576 million in Q3 2024 compared to $2,500 million in Q3 2023, with FX-Neutral net revenues also increasing by 3%[163] - U.S. net revenues grew 3% to $1,302 million in Q3 2024, representing 51% of total net revenues, while international net revenues also increased by 3% to $1,274 million, accounting for 49% of total net revenues[175] Assets and Liabilities - Total assets decreased to $19.915 billion as of September 30, 2024, from $21.620 billion as of December 31, 2023[9] - Total liabilities decreased to $14.495 billion as of September 30, 2024, from $15.224 billion as of December 31, 2023[9] - Total stockholders' equity as of September 30, 2024, was $5.420 billion, down from $5.899 billion in 2023[15] - Goodwill increased by $54 million to $4.321 billion as of September 30, 2024, primarily due to the acquisition of Goldin, a U.S.-based auction house[43] - Intangible assets had a net carrying amount of $129 million as of September 30, 2024, with amortization expense of $27 million for the nine months ended September 30, 2024[44] - Total debt as of September 30, 2024, was $7.418 billion, including $7.000 billion in senior notes and $1.243 billion in short-term debt[109] - The fair value of senior notes was approximately $6.5 billion as of September 30, 2024, down from $7.1 billion as of December 31, 2023[115] - Customer accounts and funds receivable totaled $984 million as of September 30, 2024, compared to $1,013 million as of December 31, 2023[123] - Other current assets increased to $1,186 million as of September 30, 2024, from $1,011 million as of December 31, 2023[124] - Accrued expenses and other current liabilities totaled $2,275 million as of September 30, 2024, up from $2,196 million as of December 31, 2023[126] Cash Flow and Investments - Cash flows from operating activities for the nine months ended September 30, 2024, were $1.737 billion, compared to $2.304 billion in 2023[17] - Cash, cash equivalents, and restricted cash at the end of the period were $2.372 billion, down from $3.009 billion in 2023[20] - Repurchases of common stock for the nine months ended September 30, 2024, totaled $2.238 billion, up from $1.118 billion in 2023[17] - Proceeds from the sale of shares in Adevinta for the nine months ended September 30, 2024, were $2.410 billion[17] - Short-term investments in corporate debt and government securities had an estimated fair value of $3.302 billion as of September 30, 2024[50] - Long-term investments in corporate debt and government securities had an estimated fair value of $956 million as of September 30, 2024[50] - Investment securities in a continuous loss position for less than 12 months had an estimated fair value of $1.3 billion and unrealized losses of $1 million as of September 30, 2024[55] - Investment securities in a continuous loss position for greater than 12 months had an estimated fair value of $728 million and unrealized losses of $13 million as of September 30, 2024[55] - Total estimated fair value of short-term and long-term investments classified as available-for-sale debt securities was $4.258 billion as of September 30, 2024[56] - Total equity investments decreased from $5.004 billion as of December 31, 2023 to $2.488 billion as of September 30, 2024[57] - The equity investment in Adevinta was valued at $4.474 billion as of December 31, 2023[60] - The equity investment in Aurelia was valued at $1.9 billion as of September 30, 2024[70] - An unrealized loss of $234 million and a realized gain on sale of $78 million were recorded related to the sale of the investment in Adevinta for the nine months ended September 30, 2024[62] - Unrealized gains of $1.367 billion and $1.331 billion were recorded related to the change in fair value of the investment in Adevinta for the three and nine months ended September 30, 2023, respectively[64] - The fair value of the equity investment in Gmarket was $323 million and $335 million as of September 30, 2024 and December 31, 2023, respectively[67] - The company exercised the option to purchase approximately 404 thousand shares of Adyen valued at $630 million on the settlement date of October 30, 2024, in exchange for $108 million in cash[82] - The fair value of the warrant increased from $364 million as of December 31, 2023, to $484 million as of September 30, 2024[83] - Total derivative assets increased from $396 million as of December 31, 2023, to $506 million as of September 30, 2024[83] - Total derivative liabilities decreased from $33 million as of December 31, 2023, to $20 million as of September 30, 2024[83] - The notional amount of foreign exchange contracts designated as cash flow hedges decreased from $1,699 million as of December 31, 2023, to $1,395 million as of September 30, 2024[92] - The notional amount of foreign exchange contracts not designated as hedging instruments decreased from $2,225 million as of December 31, 2023, to $1,509 million as of September 30, 2024[92] - The total gain (loss) recognized from foreign exchange derivative contracts in the condensed consolidated statement of income was $(28) million for the nine months ended September 30, 2024, compared to $47 million for the same period in 2023[87] - The total gain recognized from interest rate derivative contracts in the condensed consolidated statement of income was $8 million for the nine months ended September 30, 2024, compared to $9 million for the same period in 2023[88] - The gain (loss) attributable to changes in the fair value of the warrant recognized in gain (loss) on equity investments and warrant, net was $120 million for the nine months ended September 30, 2024, compared to $(40) million for the same period in 2023[89] - Total cash, cash equivalents, and restricted cash amounted to $2.493 billion as of December 31, 2023[97] - Equity investment in Adevinta was valued at $4.474 billion, classified under Level 1 in the fair value hierarchy[97][103] - Derivatives were valued at $396 million, with $364 million classified under Level 3 due to significant unobservable inputs[97] - Short-term investments totaled $2.533 billion, primarily consisting of corporate debt securities ($2.162 billion) and government and agency securities ($371 million)[97] - Long-term investments amounted to $934 million, including $335 million in equity investments under the fair value option classified under Level 3[97] - The warrant valuation using the Black-Scholes model resulted in a fair value of $484 million, with a probability of vesting range of 0.0% - 95.0% (weighted average 80.4%)[102] - Equity investment in Gmarket was valued at $323 million, with revenue multiples ranging from 0.7x to 2.0x under the GPC method and 0.9x to 1.8x under the GMAC method[106] - The Aurelia Option was valued at $74 million using a Black-Scholes model, classified under Level 3 in the fair value hierarchy[107] - The company repaid $750 million of 3.450% senior notes on August 1, 2024, and $1.2 billion of floating rate and 2.750% senior notes in January 2023[110] - eBay issued $450 million of commercial paper notes with a weighted average interest rate of 5.09% and a weighted average remaining term of 114 days as of September 30, 2024[116] - The company terminated a $2 billion credit agreement in January 2024 and entered into a new $2.0 billion five-year revolving credit facility[118] - eBay had $450 million of commercial paper notes outstanding as of September 30, 2024, leaving $1.6 billion of borrowing capacity available under the Credit Agreement[119] - The allowance for doubtful accounts decreased to $10 million as of September 30, 2024, from $23 million as of December 31, 2023[121] - Total gain (loss) on equity investments and warrant, net was $199 million for the three months ended September 30, 2024, compared to $1,212 million in the same period in 2023[127] - The company authorized an incremental $2.0 billion under its stock repurchase program in February 2024, in addition to the $4.0 billion previously authorized in 2022[139] - The company repurchased 42 million shares of common stock at an average price of $53.51 per share, totaling $2.249 billion, leaving $1.198 billion remaining authorized for repurchases as of September 30, 2024[139] - The company paid $131 million in cash dividends during the three months ended September 30, 2024, and declared a cash dividend of $0.27 per share to be paid on December 13, 2024[140] - The company recorded $146 million in stock-based compensation expense for the three months ended September 30, 2024, and $446 million for the nine months ended September 30, 2024[144] - The company expects the gross amount of unrecognized tax benefits to be reduced by at least $170 million within the next 12 months[146] - The company had a liability of $292 million for deemed repatriation of foreign earnings as of September 30, 2024, included in "Income taxes payable" on its condensed consolidated balance sheet[147] - The company's accumulated other comprehensive income (AOCI) balance was $232 million as of September 30, 2024, compared to $165 million as of June 30, 2024[149] - The company recorded a pre-tax charge of $42 million in the first quarter of 2023 related to workforce reduction as part of operational improvement plans[154] - Workforce reduction in 2023 resulted in a pre-tax charge of $99 million, with the reduction substantially completed by Q2 2024[155] - The company experienced elevated foreign currency volatility, with hedging losses of $11 million in Q3 2024 compared to hedging gains of $2 million in Q3 2023[175] - Cash flow from continuing operating activities was $755 million in Q3 2024, down from $862 million in Q3 2023[164] - The company repaid $750 million in senior notes in August 2024 and had $450 million in commercial paper outstanding with a weighted average interest rate of 5.09% as of September 30, 2024[166] - In October 2024, the company exercised an option to purchase approximately 404 thousand shares of Adyen valued at $630 million for $108 million in cash[167] - The company declared a quarterly cash dividend of $0.27 per share, payable on December 13, 2024[165] Expenses and Costs - Depreciation and amortization expenses for the nine months ended September 30, 2024, were $245 million, down from $305 million in 2023[17] - The company changed the useful life estimate for servers and networking equipment from three to four years, resulting in a $57 million reduction in depreciation expense for the nine months ended September 30, 2024[25] - Cash paid for income taxes for the nine months ended September 30, 2024, was $640 million, up from $97 million in 2023[19] - Cost of net revenues for the three months ended September 30, 2024 increased by 3% to $727 million, compared to $705 million in the same period in 2023[184] - Cost of net revenues for the nine months ended September 30, 2024 increased by 2% to $2.162 billion, compared to $2.123 billion in the same period in 2023[184] - Sales and marketing expenses for the three months ended September 30, 2024 increased by 4% to $592 million, compared to $567 million in the same period in 2023[188] - Sales and marketing expenses for the nine months ended September 30, 2024 increased by 4% to $1.710 billion, compared to $1.644 billion in the same period in 2023[188] - Interest expense decreased by 3% to $63 million in Q3 2024 and by 2% to $194 million for the nine months ended September 30, 2024[205][206] - Interest income increased by 24% to $72 million in Q3 2024 and by 32% to $196 million for the nine months ended September 30, 2024[205][206] - Total interest income and other, net increased by 12% to $66 million in Q3 2024 and by 36% to $200 million for the nine months ended September 30, 2024[205] - Effective tax rate decreased to 20.2% in Q3 2024 and 21.7% for the nine months ended September 30, 2024, primarily due to excess tax benefits on stock-based compensation[207] Dividends and Share Repurchases - Dividends declared per share increased to $0.27 in Q3 2024, up from $0.25 in Q3 2023[14] - The company authorized an incremental $2.0 billion under its stock repurchase program in February 2024, in addition to the $4.0 billion previously authorized in 2022[139] - The company repurchased 42 million shares of common stock at an average price of $53.51 per share, totaling $2.249 billion, leaving $1.198 billion remaining authorized for repurchases as of September 30, 2024[139] - The company paid $131 million in cash dividends during the three months ended September 30, 2024, and declared a cash dividend of $0.27 per share to be paid on December 13, 2024[140] - The company declared a quarterly cash dividend of $0.27 per share, payable on December 13, 2024[165] Equity Investments and Warrants - Equity investments and warrant net gain (loss) change driven by fair value adjustments and realized gain from Adevinta shares sale[203] - The gain (loss) attributable to changes in the fair value of the warrant recognized in gain (loss) on equity investments and warrant, net was $120 million for the nine months ended September 30, 2024, compared to $(40) million for the same period in 2023[89] - Total gain (loss) on equity investments and warrant, net was $199 million for the three months ended September 30, 2024, compared to $1,212 million in the same period in 2023[127] - The company recorded $199 million in gains from equity investments and warrants in Q3 2024, compared to $1,212 million in the same period in 2023[164] Operational Metrics - GMV for the three months ended September 30, 2024 increased by 2% to $18.306 billion, compared to $17.991 billion in the same period in 2023[181] - Take rate for the three months ended September 30, 2024 increased by 0.18% to 14.08%, compared to 13.90% in the same period in 2023[181] - GMV for the nine months ended September 30, 2024 increased by 1% to $55.347 billion, compared to $54.615 billion in the same period in 2023[181] - Take rate for the nine months ended September 30, 2024 increased by 0.10% to 13.92%, compared to 13.82% in the same period in 2023[181] - Operating margin improved to 23.1% in Q3 2024 from 18.2% in Q3 2023[163] Customer Accounts and Funds - Customer accounts and funds receivable represent cash held by financial institutions and payment processors, with a portion considered restricted due to regional safeguarding requirements[32] - No credit-related losses were recorded for customer accounts and funds receivable in the first nine months of 2024 and 2023[33] - Restricted cash is held in interest-bearing accounts for global sabbatical programs and other compensation arrangements,

Core Insights - EBay's guidance for the holiday shopping season was weaker than expected, leading to a drop in shares [1] - The company reported better-than-expected profit, sales, and gross merchandise volume (GMV) in Q3 [1] - Analysts expressed concerns regarding the company's GMV outlook for Q4 [2] Group 1 - EBay's fourth-quarter adjusted earnings per share (EPS) guidance is between $1.17 and $1.22, while revenue is expected to be between $2.53 billion and $2.59 billion, which is below analyst expectations of $1.21 and $2.58 billion [1] - In Q3, adjusted EPS was $1.19, revenue increased by 3% year-over-year to $2.58 billion, and GMV rose by 2% to $18.31 billion, all exceeding forecasts [1] - Jefferies analysts noted that failing to deliver a meaningful acceleration in Q4 GMV could raise questions about the sustainability of growth [2] Group 2 - Deutsche Bank analysts indicated that the tepid GMV growth outlook is shaking confidence in eBay's growth prospects [2] - Despite an 8% drop in shares, eBay's stock has increased by about one-third in value this year [2]

eBay Inc. (EBAY) reported third-quarter 2024 non-GAAP earnings of $1.19 per share, which beat the Zacks Consensus Estimate by 0.85%. The bottom line increased 16% year over year.Net revenues of $2.57 billion surpassed the Zacks Consensus Estimate by 1.09%. The figure increased 3% from the year-ago quarter on a reported basis and on an FX-neutral basis.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Strengthening momentum across Focus Categories of EBAY and geo-specific investments was ...

ebay Q3'24 Business & Financial Highlights October 30, 2024 Disclosures This presentation contains non-GAAP measures relating to our performance. You can find the reconciliation of these measures, except for FX-Neutral basis, to the nearest com GAAP measures in the appendix at the end of this presentation. All growth rates represent year-over-year comparisons, except as otherwise noted. For numbers in this present provided on an "FX-Neutral" basis, we calculate the year-over-vear impact of foreign currency ...

Core Insights - eBay reported revenue of $2.58 billion for the quarter ended September 2024, reflecting a 3% increase year-over-year and a surprise of +1.09% over the Zacks Consensus Estimate of $2.55 billion [1] - Earnings per share (EPS) for the quarter was $1.19, up from $1.03 in the same quarter last year, with an EPS surprise of +0.85% compared to the consensus estimate of $1.18 [1] Financial Performance Metrics - Gross merchandise volume (GMV) reached $18.31 billion, exceeding the six-analyst average estimate of $18.14 billion [3] - International GMV was $9.57 billion, surpassing the average estimate of $9.33 billion from five analysts [3] - US GMV stood at $8.74 billion, slightly above the average estimate of $8.72 billion from five analysts [3] - Active buyers totaled 133 million, compared to the average estimate of 132.36 million based on five analysts [3] Stock Performance - eBay's shares have declined by -4.7% over the past month, while the Zacks S&P 500 composite has increased by +1.8% [4] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [4]

Financial Data and Key Metrics Changes - Gross merchandise volume (GMV) grew by over 1% to $18.3 billion, marking the second consecutive quarter of positive GMV growth [7][46] - Revenue increased by more than 3% to $2.58 billion [7][46] - Non-GAAP operating income grew by 6% to $700 million, and non-GAAP earnings per share rose by 16% to $1.19 [7][46] - The take rate was 14.1%, reflecting nearly 20 basis points year-over-year growth [54] Business Line Data and Key Metrics Changes - Focus category GMV grew by nearly 5%, significantly outpacing the remainder of the marketplace [8][49] - Collectibles experienced double-digit GMV growth, driven by sports trading cards and collectible card games [9][88] - Fashion remains a critical entry point, with nearly one in five new sellers and buyers coming through this category [13] Market Data and Key Metrics Changes - US GMV grew by nearly 1%, with improved trends in organic traffic and focused categories [50] - International GMV grew by nearly 2% on an FX-neutral basis, with cross-border trade contributing significantly [51] - The UK and Germany faced challenging macroeconomic conditions, but there was strength in parts and accessories and improved trends in C2C volume [51] Company Strategy and Development Direction - The company is focused on geo-specific investments and enhancing the consumer-to-consumer (C2C) experience to unlock a larger total addressable market [15][19] - The strategic focus on C2C is expected to stimulate incremental GMV, as C2C sellers typically bring unique inventory and are less price sensitive [16][31] - The company is leveraging artificial intelligence to enhance selling and buying experiences, with significant improvements in listing processes [31][34] Management's Comments on Operating Environment and Future Outlook - Management noted a dynamic macro and consumer spending environment, influenced by political news and events [48] - The outlook for Q4 anticipates GMV between $18.9 billion and $19.3 billion, with potential challenges from economic headwinds and a shorter holiday shopping period [62][66] - Management expressed confidence in the strategic initiatives driving growth, particularly in focused categories and C2C investments [43][72] Other Important Information - The company returned $881 million to shareholders through share repurchases and dividends [46][59] - eBay for Charity raised over $49 million in Q3, reflecting the community's generosity [42] Q&A Session Summary Question: E-commerce initiatives and monetization efforts - Management emphasized the strength of their position and the positive GMV growth, with confidence in the UK C2C initiative and its phased introduction [75][77] Question: Impact of AI on volume growth - Management reported that over 10 million sellers have utilized new AI tools, generating several billion dollars in cumulative GMV [82][83] Question: Focus categories and growth potential - Management confirmed ongoing strength in focused categories, particularly in collectibles and parts and accessories, with plans for continued investment [88][90] Question: Q4 one-off factors and guidance - Management acknowledged several one-time factors affecting Q4 guidance, including the US elections and a shorter holiday season, but expressed optimism about the overall momentum [110]

Group 1 - eBay reported quarterly earnings of $1.19 per share, exceeding the Zacks Consensus Estimate of $1.18 per share, and up from $1.03 per share a year ago, representing an earnings surprise of 0.85% [1] - The company achieved revenues of $2.58 billion for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 1.09%, compared to $2.5 billion in the same quarter last year [2] - eBay has consistently surpassed consensus EPS estimates over the last four quarters, indicating strong performance [2] Group 2 - eBay shares have increased approximately 43.9% since the beginning of the year, outperforming the S&P 500's gain of 22.3% [3] - The company's future stock performance will largely depend on management's commentary during the earnings call and the sustainability of earnings expectations [3][4] - The current consensus EPS estimate for the upcoming quarter is $1.23 on revenues of $2.65 billion, and for the current fiscal year, it is $4.84 on revenues of $10.33 billion [7] Group 3 - The Internet - Commerce industry, to which eBay belongs, is currently ranked in the top 27% of over 250 Zacks industries, suggesting a favorable outlook for the sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5] - The current estimate revisions trend for eBay is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6]