Bernstein has revised its outlook on eBay (EBAY, Financial), lowering the rating to Market Perform from Outperform. This adjustment comes with a reduced price target of $65, a decrease from the previous $70 target. The firm points to a shift in the e-commerce landscape as a driving factor, citing a slowdown in data tracked through the first quarter.
Additionally, ongoing tariff issues are adding to the challenges, heightening the risks eBay faces. A significant concern remains the company's reliance on inventory sourced from China, which continues to present near-term challenges.
Furthermore, the possibility of an economic downturn could pose a threat to eBay's strategic initiatives aimed at improving its business operations. This combination of factors has led to Bernstein's cautious stance on the company's future performance.
