Zeev's Turnips Patch-No Politics (ZEEV)

[marketmaven]

EBAY Disappoints but Deutsche Bank humps anyway...

(EBAY) Reit Buy Core listings at eBay were down 3% wk/wk and up 49% Y/Y last wk at 23.4 mn. While Core growth of 34% for 2Q (43% velocity-adj) fell short of our 48% Y/Y ests., Stores listings drive upside to our core ests. We are revising our analytical model based on the quarterly data and the impact of Stores on the business. We maintain our Buy rating and price tgt of $87 on shares of eBay, based on 54x our $1.61 EPS est for 2005E.