Should you buy eBay shares? It revealed progress in its Managed Payments platform
- eBay shares on Wednesday surged slightly higher by 1.69%.
- The company said it is ahead of schedule in managing payments.
- It said its Managed Payments platform is now live in all markets and on track to process 90% of payments.
On Wednesday, eBay Inc. (NASDAQ:EBAY) shares edged slightly higher after revealing progress in its Managed Payments platform. The company said it is ahead of schedule in managed payments after launching the platform in all markets.
eBay also revealed that the platform is on track to process 90% of on-platform volume, exceeding expectations. The platform processed about 20% of on-platform volume a year ago.
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The company wants to improve consumer experiences by managing payments as it gears towards becoming a modern managed marketplace.
The stock is up more than 42% this year but still looks relatively attractive to investors.
eBay looks like a good stock to buy in Q4 2021
From a valuation perspective, eBay shares trade at an attractive forward P/E ratio of 16.22, making the stock a compelling option for value investors. Furthermore, analysts expect eBay earnings per share to grow by 99.90% this year before rising at an average annual rate of 11.87% over the next five years.
Therefore, growth investors could also find the stock exciting as it continues to complete key milestones in its plan to become a modern managed marketplace.
As such, the company looks like a good stock to add to your portfolio ahead of its exciting future.
eBay shares continue to experience a bullish bias
Technically, although eBay shares have recently pulled back to trade just above $71.00 per share, the stock continues to experience significant bullish bias in the market sentiment. As a result, eBay shares seem to be trading within an ascending channel formation in the intraday chart.
Therefore, with shares recently pulling back, investors can target potential rebound profits at approximately $75.23 or higher at $77.75. On the other hand, if the pullback continues, it could find support at $71.10 or lower at $68.82.
eBay stock seems poised for a rebound
In summary, eBay’s latest Managed Payments progress could be a significant catalyst for a rebound. Moreover, the stock has recently pulled back despite trading at highly attractive valuation multiples.
Therefore, the stock price seems poised for an imminent rebound, which started with a 1.69% gain on Wednesday.
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