Years of working as an analyst and investing my own money has made me suspicious of any tech stock that seems to offer both growth and compelling value. More often than not, the growth evaporates and that apparent value becomes a value trap. When looking at eBay (Nasdaq:EBAY) it's worth wondering why the Street isn't bidding this one up higher - is there that much doubt about its ability to keep its hold in e-commerce or build PayPal into an even more substantial player in payment processing? (To know about the technology industry, read A Primer On Investing In The Tech Industry.)
Respectable Fourth Quarter Numbers...
eBay did more or less what it was expected to in the fourth quarter and a little more. Consolidated revenue rose about 35% as reported and 19% on an organic basis. Revenue growth was led by the payments business, up almost 28%, while the marketplace segment saw revenue growth of 16%. GSI chipped in $364 million in revenue this quarter.
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