Stock Analysis on Net

eBay Inc. (NASDAQ:EBAY)

This company has been moved to the archive! The financial data has not been updated since October 24, 2019.

Common Stock Valuation Ratios (Price Multiples)

Microsoft Excel

Current Valuation Ratios

eBay Inc., current price multiples

Microsoft Excel
eBay Inc. Amazon.com Inc. Home Depot Inc. Lowe’s Cos. Inc. TJX Cos. Inc.
Selected Financial Data
Current share price (P) $35.62
No. shares of common stock outstanding 813,525,054
Growth rate (g) 26.97%
 
Earnings per share (EPS) $3.11
Next year expected EPS $3.95
Operating profit per share $2.73
Sales per share $13.21
Book value per share (BVPS) $7.72
Valuation Ratios (Price Multiples)
Price to earnings (P/E) 11.45 71.57 25.47 19.22 29.15
Price to next year expected earnings 9.02 61.82 4.10 6.64 21.86
Price-earnings-growth (PEG) 0.42 4.54 0.05 0.10 0.87
Price to operating profit (P/OP) 13.04 59.09 17.79 12.85 22.50
Price to sales (P/S) 2.70 3.79 2.53 1.72 2.41
Price to book value (P/BV) 4.61 10.79 369.51 17.86

Based on: 10-K (reporting date: 2018-12-31).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.


Historical Valuation Ratios (Summary)

eBay Inc., historical price multiples

Microsoft Excel
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Price to earnings (P/E) 12.32 4.79 16.36 1,433.64
Price to operating profit (P/OP) 14.03 18.93 14.98 12.84 18.77
Price to sales (P/S) 2.90 4.48 3.88 3.28 3.68
Price to book value (P/BV) 4.96 5.32 3.30 4.29 3.31

Based on: 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31).

Valuation ratio Description The company
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. eBay Inc. P/OP ratio increased from 2016 to 2017 but then decreased significantly from 2017 to 2018.
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. eBay Inc. P/S ratio increased from 2016 to 2017 but then decreased significantly from 2017 to 2018.
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. eBay Inc. P/BV ratio increased from 2016 to 2017 but then slightly decreased from 2017 to 2018.

Price to Earnings (P/E)

eBay Inc., historical P/E calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
No. shares of common stock outstanding1 914,880,451 1,012,079,673 1,087,042,601 1,178,705,177 1,210,046,829
Selected Financial Data (US$)
Net income (loss) (in millions) 2,530 (1,016) 7,266 1,725 46
Earnings per share (EPS)2 2.77 -1.00 6.68 1.46 0.04
Share price1, 3 34.08 42.37 32.03 23.94 54.50
Valuation Ratio
P/E ratio4 12.32 4.79 16.36 1,433.64
Benchmarks
P/E Ratio, Competitors5
Amazon.com Inc.
Home Depot Inc.
Lowe’s Cos. Inc.
TJX Cos. Inc.

Based on: 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31).

1 Data adjusted for splits and stock dividends.

2 2018 Calculation
EPS = Net income (loss) ÷ No. shares of common stock outstanding
= 2,530,000,000 ÷ 914,880,451 = 2.77

3 Closing price as at the filing date of eBay Inc. Annual Report.

4 2018 Calculation
P/E ratio = Share price ÷ EPS
= 34.08 ÷ 2.77 = 12.32

5 Click competitor name to see calculations.


Price to Operating Profit (P/OP)

eBay Inc., historical P/OP calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
No. shares of common stock outstanding1 914,880,451 1,012,079,673 1,087,042,601 1,178,705,177 1,210,046,829
Selected Financial Data (US$)
Income from operations (in millions) 2,222 2,265 2,325 2,197 3,514
Operating profit per share2 2.43 2.24 2.14 1.86 2.90
Share price1, 3 34.08 42.37 32.03 23.94 54.50
Valuation Ratio
P/OP ratio4 14.03 18.93 14.98 12.84 18.77
Benchmarks
P/OP Ratio, Competitors5
Amazon.com Inc.
Home Depot Inc.
Lowe’s Cos. Inc.
TJX Cos. Inc.

Based on: 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31).

1 Data adjusted for splits and stock dividends.

2 2018 Calculation
Operating profit per share = Income from operations ÷ No. shares of common stock outstanding
= 2,222,000,000 ÷ 914,880,451 = 2.43

3 Closing price as at the filing date of eBay Inc. Annual Report.

4 2018 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 34.08 ÷ 2.43 = 14.03

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. eBay Inc. P/OP ratio increased from 2016 to 2017 but then decreased significantly from 2017 to 2018.

Price to Sales (P/S)

eBay Inc., historical P/S calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
No. shares of common stock outstanding1 914,880,451 1,012,079,673 1,087,042,601 1,178,705,177 1,210,046,829
Selected Financial Data (US$)
Net revenues (in millions) 10,746 9,567 8,979 8,592 17,902
Sales per share2 11.75 9.45 8.26 7.29 14.79
Share price1, 3 34.08 42.37 32.03 23.94 54.50
Valuation Ratio
P/S ratio4 2.90 4.48 3.88 3.28 3.68
Benchmarks
P/S Ratio, Competitors5
Amazon.com Inc.
Home Depot Inc.
Lowe’s Cos. Inc.
TJX Cos. Inc.

Based on: 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31).

1 Data adjusted for splits and stock dividends.

2 2018 Calculation
Sales per share = Net revenues ÷ No. shares of common stock outstanding
= 10,746,000,000 ÷ 914,880,451 = 11.75

3 Closing price as at the filing date of eBay Inc. Annual Report.

4 2018 Calculation
P/S ratio = Share price ÷ Sales per share
= 34.08 ÷ 11.75 = 2.90

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. eBay Inc. P/S ratio increased from 2016 to 2017 but then decreased significantly from 2017 to 2018.

Price to Book Value (P/BV)

eBay Inc., historical P/BV calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
No. shares of common stock outstanding1 914,880,451 1,012,079,673 1,087,042,601 1,178,705,177 1,210,046,829
Selected Financial Data (US$)
Stockholders’ equity (in millions) 6,281 8,063 10,539 6,576 19,906
Book value per share (BVPS)2 6.87 7.97 9.70 5.58 16.45
Share price1, 3 34.08 42.37 32.03 23.94 54.50
Valuation Ratio
P/BV ratio4 4.96 5.32 3.30 4.29 3.31
Benchmarks
P/BV Ratio, Competitors5
Amazon.com Inc.
Home Depot Inc.
Lowe’s Cos. Inc.
TJX Cos. Inc.

Based on: 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31).

1 Data adjusted for splits and stock dividends.

2 2018 Calculation
BVPS = Stockholders’ equity ÷ No. shares of common stock outstanding
= 6,281,000,000 ÷ 914,880,451 = 6.87

3 Closing price as at the filing date of eBay Inc. Annual Report.

4 2018 Calculation
P/BV ratio = Share price ÷ BVPS
= 34.08 ÷ 6.87 = 4.96

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. eBay Inc. P/BV ratio increased from 2016 to 2017 but then slightly decreased from 2017 to 2018.