Fundamental analysis · SEC EDGAR · TTM through 31/03/2026

Fundamental analysis of eBay Inc

EBAY · Nasdaq · Consumer

Fundamental quality

REASONABLE

63

out of 100

eBay Inc earns a fundamental-quality score of 63 out of 100, profiling it as a company of reasonable quality. Its score rests mainly on its profitability (net margin 17.6%). Its weakest area is its growth (revenue +5.2%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

eBay is the internet's original flea market: buying and selling between individuals and small sellers, now refocused on enthusiast categories — trading cards, watches, car parts, secondhand fashion — where the rare catalog is the advantage. It grows little but generates cash like clockwork.

What will shape its future

  • Niche categories (collectibles, parts), its defense against Amazon and Temu.
  • Secondhand as a trend: 'recommerce' fashion plays in its favor.
  • Massive share buybacks, the real engine of its earnings per share.

Breakdown by area

I.Growth
16

EPS growth: -17.7% · Revenue growth: 5.2%

II.Profitability
89

Net margin: 17.6% · ROE: 46.3% · ROIC: 24.1%

III.Financial health
83

Net debt/EBITDA: 1.41x · FCF: 14.5%

Source: SEC EDGAR · TTM through 31/03/2026

The score combines growth, profitability and financial strength. Here its profitability weighs in its favor, while its growth drags it down the most.

Versus its sector

Percentile against the other 98 Consumer companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 89%
ROEbeats 89%
Growthbeats 33%
Cash generationbeats 81%
Less debtbeats 56%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

eBay Inc strengths

  • High gross margin (71.8%), pointing to pricing power.
  • Solid return on capital: its ROE (46.3%) is inflated by buybacks, but ROIC —which strips that out— is 24.1%.
  • Strong free-cash-flow generation (FCF margin of 14.5%): profit turns into real cash.
  • High net margin (17.6%), high even for its sector: the business is clearly profitable.

eBay Inc risks and weaknesses

  • Shrinking margins: net margin has fallen from 64% to 18% in recent years.
  • Declining earnings per share (-17.7% annualized).

eBay Inc historical evolution

YearRevenueNet incomeFree cash flowNet debt
20208,8945,6671,9566,645
202110,42013,6082,2137,703
20229,795-1,2691,8056,717
202310,1122,7671,9705,738
202410,2831,9751,9564,992
202511,1002,0311,4344,879

Between 2020 and 2025, revenue went from $8,894M to $11,100M (+25%) and net income went from $5,667M to $2,031M (-64%). Meanwhile, its margins have narrowed (from 64% to 18%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the quarter ended March 31, 2026, versus the quarter ended March 31, 2025 (SEC filings):

  • Revenue+19.5%
  • Net income+2.6%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

$1.13

per share, yearly

26.1% of earnings

Payout

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

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Is eBay Inc cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

Compute the valuation →

Frequently asked questions

Is eBay Inc a good company to invest in?

In terms of business quality, eBay Inc scores 63 out of 100 in our analysis, placing it as a company of reasonable quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is eBay Inc a profitable company?

Yes. eBay Inc shows a net margin of 17.6% and an ROE of 46.3%, a sign of a profitable business.

Does eBay Inc have a lot of debt?

Not particularly. Its net debt is 1.41 times its EBITDA, a low level.

Is eBay Inc growing?

Its revenue has grown 5.2% annualized in recent years.

Does eBay Inc generate cash?

Yes. It converts about 14.5% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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