Needham reiterated its Buy rating and $140 price target on eBay following an investor lunch with CFO Peggy Alford and investor relations representative John Egbert. eBay shares were trading at $120.93 at the time of the report, after gaining 48% over the previous year and 40% year to date.
According to Needham, eBay management expressed confidence in delivering healthy growth next year. The firm pointed to the ongoing expansion of eBay Live, which is still in its early stages, and Depop, which it said is progressing ahead of schedule.
The company sees attractive underlying unit economics in both offerings, while continuing to make discretionary investments to develop their market potential. Needham also noted eBay’s 72% gross profit margin and said management discussed growing non-GAAP operating income dollars in 2027 while balancing investment and growth.
Needham said it remains positive on eBay’s marketplace position and its use of technology to reach additional market opportunities. The firm also described eBay as relatively well positioned in an agentic shopping environment.
Sources: Investing.com News.