eBay Inc. Announces Quarterly Dividend of $0.27 (NASDAQ:EBAY)

eBay Inc. (NASDAQ:EBAY) announced a quarterly dividend on Wednesday, May 1st, RTT News reports. Shareholders of record on Friday, May 31st will be given a dividend of 0.27 per share by the e-commerce company on Friday, June 14th. This represents a $1.08 annualized dividend and a yield of 2.12%.

eBay has increased its dividend payment by an average of 16.0% per year over the last three years and has raised its dividend annually for the last 5 consecutive years. eBay has a payout ratio of 21.5% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect eBay to earn $4.07 per share next year, which means the company should continue to be able to cover its $1.08 annual dividend with an expected future payout ratio of 26.5%.

eBay Stock Down 0.9 %

EBAY stock opened at $51.06 on Thursday. The stock has a market capitalization of $25.86 billion, a P/E ratio of 9.78, a PEG ratio of 2.05 and a beta of 1.31. The company has a debt-to-equity ratio of 1.09, a quick ratio of 2.44 and a current ratio of 2.44. eBay has a one year low of $37.17 and a one year high of $52.93. The company has a 50 day moving average price of $50.60 and a two-hundred day moving average price of $44.74.

eBay (NASDAQ:EBAY) last released its earnings results on Wednesday, May 1st. The e-commerce company reported $1.25 EPS for the quarter, topping the consensus estimate of $1.20 by $0.05. eBay had a net margin of 27.36% and a return on equity of 29.16%. The firm had revenue of $2.56 billion during the quarter, compared to analysts’ expectations of $2.53 billion. During the same period in the previous year, the company earned $0.87 EPS. eBay’s revenue for the quarter was up 1.8% on a year-over-year basis. As a group, sell-side analysts expect that eBay will post 3.75 EPS for the current year.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on the stock. Truist Financial upped their price target on shares of eBay from $47.00 to $48.00 and gave the stock a “hold” rating in a research report on Thursday, February 29th. Wells Fargo & Company upped their price target on shares of eBay from $45.00 to $47.00 and gave the stock an “equal weight” rating in a research report on Thursday, April 4th. Barclays boosted their price objective on shares of eBay from $55.00 to $61.00 and gave the stock an “overweight” rating in a report on Wednesday, February 28th. StockNews.com upgraded shares of eBay from a “hold” rating to a “buy” rating in a report on Thursday, April 25th. Finally, Morgan Stanley upgraded shares of eBay from an “underweight” rating to an “overweight” rating in a report on Thursday, April 18th. One research analyst has rated the stock with a sell rating, nine have given a hold rating and eight have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $49.84.

Insiders Place Their Bets

In other eBay news, SVP Edward O. Garcia sold 1,165 shares of the company’s stock in a transaction dated Tuesday, February 20th. The shares were sold at an average price of $43.03, for a total value of $50,129.95. Following the completion of the transaction, the senior vice president now owns 31,888 shares in the company, valued at approximately $1,372,140.64. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. 0.21% of the stock is owned by insiders.

eBay announced that its Board of Directors has authorized a share repurchase program on Tuesday, February 27th that allows the company to buyback $2.00 billion in shares. This buyback authorization allows the e-commerce company to repurchase up to 8.1% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s management believes its shares are undervalued.

eBay Company Profile

eBay Inc, together with its subsidiaries, operates marketplace platforms that connect buyers and sellers in the United States, the United Kingdom, China, Germany, and internationally. The company's marketplace platform includes its online marketplace at ebay.com, off-platform businesses, and the eBay suite of mobile apps.