Morgan Stanley downgrades shares of eBay less than one year after a double upgrade. Analyst Brian Nowak cuts his 12-month price target for the online marketplace by 40 percent, predicting little growth over the next year. We under-estimated how quickly core marketplaces would deteriorate: We were wrong in double-upgrading eBay, the analyst writes.
It is very apparent the marketplace continues to fail trying to compete with Amazon. At one time, a long long time ago, eBay INC was on top of the world with a niche market in used goods. But that was then, and this is now. Corporate execs threw away the greatest majority of ma and pa sellers, as they courted name brands. What we're seeing now is a ship that's taking on water faster than it's pumps can handle. It's end is coming probably sooner than later, taking shareholders to a watery grave.
In an attempt to stay ahead of the flood execs are pencil whipping sellers to death. SNAD return shipping fraud is costing sellers plenty, with eBay pocketing the final value fee and an added 4% penalty. This seller lost $6500 to a scamming buyer. Pencil whipping sellers is not the answer. Going back to their roots might be the answer, but with the marketplace this far gone I doubt it would help.
Most Users Ever Online: 52
Currently Browsing this Page:
Not a Legitimate Bidder: 8
Old car guy: 3
Scam Alert: 1
Guest Posters: 24