EBay: attractive forecasts send shares soaring

Published: 2025-08-01 02:31:39 ET EBAY

Published on 08/01/2025 at 02:31 am EDT

eBay has announced a higher-than-expected earnings forecast for the current quarter, after reporting much better-than-expected results for the past quarter.The San Jose, California-based company said it expects EPS of between $1.29 and $1.34, compared with the current consensus estimate of $1.30.Its revenue forecast for the third quarter is between $2.69bn and $2.74bn, compared with the market's previous estimate of $2.66bn.In Q2, eBay's profit rose 7% to $643m, or $1.37 per share, compared with $1.30 expected by the market.Revenue rose 6% to $2.73bn, compared with a consensus of $2.65bn.eBay, founded in 1995, is seeking to shake off its image as an Internet dinosaur, which recently led it to launch an AI shopping assistant that offers real-time personalized recommendations and advice to help shoppers make choices, as well as a generative video tool that turns photos into short videos so sellers can promote their listings on social media.The group also announced that it had redistributed $759m to its shareholders in Q2, including $625m in share buybacks and $134m in dividend payments.eBay shares, up about 45% since the beginning of the year, closed up over 18% yesterday on Wall Street following these announcements.