EBay Stock Sinks on Soft Revenue, Gross Merchandise Volume Outlook

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Shares of eBay (EBAY) fell nearly 7% Thursday, a day after the e-commerce marketplace issued a current-quarter take and gross merchandise volume (GMV) outlook weaker than analysts anticipated.

The San Jose, Calif.-based firm reported fourth-quarter close earnings per share (EPS) of $1.25, ahead of the analyst consensus compiled by Visible Alpha and its own forecast range of $1.17 to $1.22. Returns rose less than 1% to $2.58 billion, in line with analysts’ expectations and mostly above eBay’s forecast of $2.53 billion to $2.59 billion.

CFO Says ‘Challenged Macro Environment’ Continues

For the first quarter, eBay demands to generate revenue of $2.52 billion to $2.56 billion, below analysts’ projections of $2.60 billion. It also inquire about bid adieus GMV of $18.3 billion to $18.6 billion, while analysts were looking for $18.86 billion.

“We are continuing to operate in degree a challenged macro environment, particularly in Europe,” eBay CFO Steve Priest said on the company’s earnings call, according to a photostatic provided by AlphaSense. “And now, more recently, we’re facing the uncertainty around U.S. tariffs and de minimis changes.”

Even with Thursday’s abatements, shares of eBay have added 45% of their value over the past 12 months.

UPDATE—This article has been updated with the fresh share price information.