The Restaurant at the End of eBay

[rich_knob_sales]

http://www.benzinga.com/analyst-ratings ... -ebay-ebay

So, Deutsche Bank reads SC?

Deutsche Bank Lowers Estimates on eBay (EBAY)
Michael J. Zerinskas
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Posted on 06/29/10 at 9:33am by Michael J. Zerinskas Deutsche Bank is out with a research report this morning, where it reiterated its Sell rating on shares of eBay (NASDAQ: EBAY); it has a $16.00 price target on the stock.

The DB analysts said, “We remain sellers of shares of eBay, as a combination of US dollar strength, weak US sales activity, and discontinuation of the Microsoft Bing CashBack program will likely result in lowered earnings guidance for 2010. We are reducing our estimates for 2010, reflecting a 5% operating profit dollar decline this year (vs. Street expectations of ~10% profit growth). While our revision largely reflects a move to $1.20 per Euro on cross rates for 2H 2010 and 2011, weak business fundamentals have not been fully reflected in our model.”

They noted, “With the US dollar strength, we believe eBay represents the company most at risk in our coverage universe on earnings impact, as USD strength impacts revs, operating profits and tax rates. Feedback from US sellers, 3rd party platform providers suggests that sales have weakened significantly in 2Q, representing an impact to estimates. The upcoming end of CashBack likely impacts eBay, as the company is a major beneficiary of Bing’s search marketing strategy, thereby leading to higher ad rates and lower traffic levels (beyond July 30th).”

They closed by saying, “Our new estimates are based on a Euro Dollar exchange rate of $1.27 for 2Q 2010 and $1.20 for 2H 2010 and 2011. For 2Q 2010, we are lowering our rev est. to $2.08bn (vs. $2.12bn previously) and EPS estimate from $0.36 to $0.35. Our 2010 estimates now call for revs/EPS of $8.6bn/$1.47 vs. $8.8bn/$1.54 previously. For 2011, we expect revs/ EPS of $8.7bn/$1.45 vs. $9.1bn/$1.56 previously.”

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[scarlet]

I wonder how they garner feedback from sellers.....random contacts, reading SC? PESA?

It would be very interesting to know...

[scarlet]

http://forums.ebay.com/db2/topic/Seller ... /510236690

Good thread!!!

[bunnspec]

I wonder how they garner feedback from sellers.....random contacts, reading SC? PESA?

It would be very interesting to know...

Patel is the analyst that actually analyzes-I wouldn't be surprised if he actually reads SC AND polls real sellers-he has been correctly focused on the real issues sellers face and bases his conclusions on reality, NOT ebat fluff...

[rich_knob_sales]

OMG!

http://www.google.com/hostednews/ap/art ... gD9GRNE883

[bunnspec]

Happy sales to you, until we bid again; happy snads to you, until we file again,.....

[LooseyGoosey]

I wonder what Christies does if someone bids and then renegs on their bid. Do they say, "Oh that's okay. Your a buyer, and we don't want to do anything that would make you uncomfortable."?

Or maybe they send a hitman out after him!

[scarlet]

I don't think I could buy Trigger or Bullet....even if I had the money, having taxidermy-fied remains around is just too creepy for me!

I watch those shows religiously......I wish I could bid on the jeep!

What does Christies do to guarantee payment folks? I really don't know, and would like to know how real auction houses do it.....

[bunnspec]

I am certain that Christies has a financial report on all of their bidders with bank drafts waiting in the wings.. They most certainly vette their bidders-remember the "Red Violin"??

[guru]

News Flash: Ex members asked to put up or shut up, and do NEITHER!"