eBay (EBAY) posted lower-than-expected revenue this week, but it still provided anecdotal reasons to think the holiday shopping season might still be fairly strong.
The online auction site company turned a better-than-expected third-quarter profit, outshining disappointing results at Google (GOOG), Microsoft (MSFT), Intel (INTC) and IBM. More importantly, it provided an upbeat outlook for the fourth quarter.
It still may be on track for strong growth.
“eBay is one of a handful of large technology companies — with great brand names and online followers — that is growing revenues and profits organically at rates above 15 percent annually,” said Covestor Model Manager Paul Franke, who is also director of research at Quantemonics Investing, in an interview this week with the E-Commerce Times. He’s long the stock.
“The eBay online sales environment and PayPal unit are both wonderful assets going forward, given a weak economy and rising rates of inflation.”
Read the full interview here. And here’s a clear indication how important PayPal has become for eBay.
