Goldman Sachs Lifts eBay to Neutral, Raises Target to $88
Goldman Sachs upgraded eBay to Neutral after fourth-quarter GMV and revenue beat expectations, citing focus categories up 16% and solid U.S. momentum. The firm raised its 12-month price target to $88 and highlighted a new $2 billion share buyback and stable margin outlook.
1. Fourth-Quarter Outperformance
eBay’s fourth-quarter GMV and revenue came in ahead of Goldman Sachs’ forecasts, propelled by strong performance in the U.S. market and a 16% year-over-year increase in key focus categories such as collectibles and fashion.
2. Analyst Upgrade and Target Revision
Goldman Sachs moved eBay to a Neutral rating and lifted its 12-month price target from $77 to $88, reflecting confidence in the company’s repositioning efforts and recent operational momentum.
3. Growth Drivers and Market Segments
The firm highlighted ongoing investments in platform capabilities and product initiatives, especially in live commerce and vehicles, as foundational to sustained positive revenue growth over the next 12–18 months despite European macro challenges.
4. Capital Return and Financial Outlook
eBay’s board approved a $2 billion share repurchase program, complementing stable non-GAAP margins and reinforcing Goldman Sachs’ view of durable earnings growth and consistent shareholder returns.