EBAY stock tanked yesterday
 

It went down 18 Points and today it's up about 3 points. I believe in Ebays model, but there might be a slow down in the future in profits.

Should I buy more, hold or dump what I currently have?

:helpme

I'd be cautious.. a lot of big sellers are pissed at eBay for raising fees..

why are you asking here?

EXACTLY---I sent them all kinds of nasty shit over that

:mad:

Yah the fee increases are crazy.

its going back up

And Overstock lowered their fees & they are claiming increased customer base :)

a lot of eBay's revenue comes from simply giving stock options to their employees not from their auction operations.

Interesting....I will have to go check out overstocks auction platform. Thanks for the heads up :thumbsup

well in 5 years when someone has a brand name and model half the size of ebay, then I may consider the competition, until such time ebay is king and has the last say.

If eBay isn't too careful they might raise the prices enough to open competition to other auction sites, I saw a number of sites issue press releases in the hours after the price annoucement like it was a ticker tape parade.

I forgot the article, but one store owner said he was selling $3K a month on eBay and after the price increase, he's gone for good.

Do keep in mind that Ebay owns Paypal. Between insertion fees, ebays cut, paypals cut. The average seller loses a nice little chunk of cash. I have a brand new 20gb Ipod sitting on my desk that I don't even feel like putting on ebay because of that shit.

I am not sure where they will go at the moment. The options are limited and the store owner is still making money.

To think Ebay started because his GF collected "Pez" candy dispensers.

ebay's revenue has increased by 30-40% every year and this is only the 2nd time they haven't met forcasted expectations (off by a penny)
their current projections have them doing 1b+ every quarter of 2005 , analysts are somewhat weary due to the fee increase and about 100m of their 2004 revenue being somewhat off due to exchange rates

Its going to be intersting. We will see if they care about the sellers that help grow their community or just their bottom line.

I think it is going back up.

They have increased their fees considerably, but I don?t think the sellers have any other viable choice at this time. I will hold with a stop to sell majority of the shares at the next resistance :(

They are solid that was an emotional dump. They were off just a bit on earnings yet were still very impressive. Looking forward they were cautious as well.

Nowdays if earnings even miss by .01 the stock takes a beating.

The answer to that should be very obvious to you. The answer to if it will have an adverse effect on future profits only time will tell.

However you look at it now Ebay fees are getting far too high to make selling via it viable for many people. It'll be interesting to see the next earnings statement to see if many have simply stopped or moved elsewhere.

Lee hows your Beany Baby collection ?

It was the forward guidance that the street didn't like.

It is more than the fee increase that is pissing off sellers - they are changing all sorts of crap over there for no good reason. This has been going on for some time now and its just fucking stupid

ebay are asses for raising fees. they basically have no competition in their field so why are the losing money?

EXACTLY!!! :mad:

They have a great thing going & I am not sure why they would want to rock the boat by raising the fees. They are not loosing money, that is for sure.

Not sure, that is a tough one there buddy.

Eventually, Ebay will be manufacturer direct to consumer for new items.

It's still a great place to sell the used crap laying around your house.

Competion will result.

Its really that simple.
Anyone want some auction scripts?