How To Buy eBay (EBAY) Stock In 2023

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Last Updated April 13th 2023
15 Min Read

In this guide, we will provide you with a comprehensive guide on how to buy eBay stock. It will detail the entire eBay buy process and tell you everything you need to know before investing in the eCommerce giant. Most importantly, we will tell you about the factors influencing eBay stock price and help you decide whether EBAY is worth buying in 2023.

Founded in the late 1990's eBay is one of the most successful dot.com market crash survivors. Close to three decades later, the company has morphed into one of the largest and most popular Consumer-to-consumer (C-to-C) and Business-to-consumer (B-to-C) online trading platforms. But is it worth investing in 2023, or should it sit on your stock watchlist for a tad longer?

Read on to learn how to buy eBay stock, where to buy them, and if they are worth buying today. 

How To Buy eBay (EBAY) Stock – Overview

Most online stock brokerages have embraced a near-standard share-buying process on their platform. It is quick and straightforward, ensuring you do not need expert help opening the account or placing your buy/sell order. Here is an outline of this process:

  • Step 1: Create a share trader account – Begin by creating a user account with a regulated and highly reputable online broker. Most brokers have simplified this registration process, and you can get your account approved in minutes.
  • Step 2: Verify your identity – Every regulated broker will require you to verify your identity. Send them a copy of your government-issued identification documents like a passport or national ID.
  • Step 3: Deposit funds – After receiving the account approval notification, log in and fund this account. Note that different brokers maintain varied deposit and trade minimums; therefore, consider these when choosing an eBay share broker.
  • Step 4: Buy eBay shares – Once the deposit reflects in your trader account, search for eBay stock and open a buy order.

That’s it! By following these easy steps, you can buy eBay shares in less than 10 minutes.

 

buy eBay stock

Your capital is at risk. Other fees apply.

Below, we will go over and explain these steps in detail. We will start by telling you where to buy eBay shares and how to vet trading platforms, eBay stock's past price performance, and the pros and cons of investing in eBay today.

The eBay (EBAY) Stock Buying Guide – Reviewed

Step 1: Decide Where To Buy eBay (EBAY) Stock 

The first step to stock investing is deciding where to buy the shares in the first place. But how do you find the best eBay share broker, especially when you put into account the fact that eBay's popularity has seen it list with hundreds of online trading platforms around the world?

Below, we point out a few must-have features that you should consider when looking for the best eBay stock brokerage:

  • Fees and commissions: Check all the charges imposed by a broker. Assess the impact they will have on the profitability of your eBay trades. Only register with a broker with the most competitive fees.
  • Regulation and reputation: It is imperative that you only create an investor account with a highly regulated broker. They should also be of solid reputation, and this could be determined by checking their customer services, efficiency, and transaction processing speeds.
  • Deposit and withdrawal options: Before registering with a broker, confirm that they support all your preferred payment methods. Also, check if they charge any deposit or withdrawal processing fees.
  • Trading platform: Confirm the number and effectiveness of trading platforms maintained by your broker. Are they proprietary, or does the broker support third-party platforms? Additionally, confirm the efficacy of integrated trading, analysis, and risk management tools. 
  • Education and resources: Check the trading and educational resources integrated into the broker's trading platform. Check if they have a free demo account, if they integrate advanced trading tools and if they offer free educational tools to assist beginner traders.

We have already mentioned that eBay is currently listed with hundreds of multi-regulated and highly reputable brokerages. This often complicates the process of choosing the best eBay share broker.

To help you get started, though, our analysts have vetted tens of highly effective brokerages and settled on the following as the best places to buy eBay shares in 2023.

eToro – Best eBay Stock Broker for Social and Copy Investing

Several factors make eToro one of the best places to buy eBay shares in 2023. For starters, it is multi-regulated and runs one of the most user-friendly trading platforms. It has a quick and straightforward client onboarding process, and in addition to trading eBay, eToro exposes you to 3000+ more shares from both local and international markets. You also have the choice of buying and owning actual shares from the platform or simply trading share CFDs with leverages of up to 1:5.

To start buying eBay shares on eToro, you need to make a deposit of at least $10. This deposit can be made via such deposit methods as bank cards, bank wire, and eWallets like PayPal. The broker charges no deposit fees but maintains a fixed $5 withdrawal fee and a minimum withdrawal limit of $30.

how to buy ebay stocks

Other than this, you will only have to part with the competitive and variable spreads when you trade shares on the commission-free brokerage. And if you margin-trade eBay CFDs, overnight trades will attract variable swap fees.

eToro also makes it here because it maintains one of the most intuitive trading platforms – appealing to both beginner and expert share investors. It is easily navigable and integrates a host of features dedicated to both novice and expert traders.

These include comprehensive educational content, how-to guides, and a demo account. They then extend to a host of premium research, analysis, and risk management tools. eToro even offers negative balance protection to all trader accounts.

But the trading platform is more popular because of its copy and social trading tools. Social trading allows for smooth interactions between all eToro platform users. Copy trading, on the other hand, lets anyone earn passively.

Novice traders make money when they copy the trade settings of highly popular and successful investors. The experts, on the other hand, earn a commission from eToro based on the value of assets under copy. To start copy trading on eToro, however, you will need to deposit a minimum of $200, but the broker charges no extra copying fees.

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Capital.com – Best for Active Trading

Capital.com stands out among the best eBay share trading platforms because of its innovativeness and affordability. To start trading eBay stock on Capital.com, for instance, you only need to deposit a minimum of $20.

The broker charges no trading commissions, and you, therefore, will only have to pay variable but highly competitive spreads when trading eBay shares on the platform. You may also have to pay an equally competitive and variable spread if you margin trade these shares – with leverage for retail traders of up to 1:5.

Note that unlike eToro – which lets you buy both actual shares and share CFDs – Capital.com is a pure CFD trading platform.

The brokerage shot to popularity when it became of the first online trading platforms to integrate artificial trading into their trading platform. This tool helps with post-trade behavior analysis and has grown increasingly popular with online share investors looking to eliminate bias from trades. And in addition to the AI tool, the Capital.com trading interface integrates a host of premium trading and risk management tools as well as 70+ analytical tools.

Other factors that make Capital.com one of the best places to buy eBay shares include the fact that it is available on both proprietary and universal platforms like the MT4. It has some of the fastest transaction execution speeds and a rich resource of educational content to help beginner traders.

Step 2: Research eBay (EBAY) Stock

After settling on the best eBay share broker, you need to learn as much as you can about the company before hitting opening a buy/sell order for its shares. Importantly, you need to learn about the different factors affecting eBay stock price. But to get to these, you first need to learn how the company works and its past stock price performance.

What is eBay? 

eBay is an American-based eCommerce company specializing in consumer-to-consumer and business-to-consumer sales through an online platform. It was created in September 1995 by Pierre Omidyar and has its headquarters in San Jose, California.

Originally envisioned to serve as an auction-style (digitized yard sale) online platform, eBay has innovated over the years and integrated several other shopping styles, including the ever-popular – instant-buy shopping.

buy ebay stocks

eBay was the first online company to allow for person-to-person interactions, and the first item to sell on the platform was a broken laser pointer. eBay started experiencing exponential growth in 1997 after scoring its first major third-party licensing deal with Electric Travel Auction.

From processing 250,000 auction sales in all of 1996, eBay processed 200,000 auctions in January 1997. By March of the following year, eBay had onboarded more than half a million clients and with monthly revenues exceeding $4.7 Million.

By 2000, eBay was the largest eCommerce platform in the world – larger than Amazon. It had more than 12 million users and an average daily cyber inventory of 4.5 million products. At this point, it embarked on an aggressive expansion spree and divesture into equally popular non-retail businesses. Notable acquisitions included the purchase of PayPal in 2002, Skype in 2005, StubHub in 2007, and Qoo10 in 2018. It also acquired 25% of Craigslist in 2004 and launched Kijiji online classified platform in March 2005.

eBay Financials

For the last ten years, eBay has recorded fairly commendable annual net revenue gains. These average between $8 and $10 Billion and only dipped below $7.5 Billion in 2019. This dip was occasioned by shrinking gross merchandise volumes and stiff competition in the eCommerce market by the likes of Amazon. At the time, eBay was also undergoing an uneasy leadership transition.

For the 12 months ending September 2022, eBay reported a net income of $9.89 Billion – less than a 1% decline in year-over-year net annual income.

In 2022, eBay continued the dividend distribution program started in 2019 and paid equal quarterly dividends of $0.22 per share.

Looking into 2023, both eBay management and several other forecasting agencies expect the eCommerce brand's revenues to grow by between 5% and 6%.

eBay Stock Historical Price Performance

eBay went public on September 1998. The company availed 3.5 million shares to the public, with each selling for $18 – helping the company raise $63 Million and give it a valuation of $1.88 Billion. Over the course of the last 24 years, eBay has undergone five stock splits that give it an IPO price of $0.33.

eBay share price has been on a sustained overall uptrend, though with occasional dips that it has been quick to recover from. Today, eBay stock trades more than 12300% above its IPO price. More than 10% of this has been gained in the last five years.

eBay stock price peaked in late October 2021 when it tore above $80 (more than 24000% above the IPO price). It, however, started plummeting soon after this peak – starting the year trading around $60 before shedding more than 35% throughout 2022. This has seen the tech giant's market valuation drop from close to $45 Billion in the last quarter of 2021 to $22.25 at the end of 2022.

But just like it recovered from the early 2020 price dip, eBay is expected to bounce back from this. In fact, the majority of analysts and economic forecasters are confident that EBAY stock price will begin gaining and possibly rally to new heights over the next few months.

Factors Affecting eBay Share Price

The eBay stock has two distinct characteristics. It has sustained an overall uptrending price action, but this uptrend has also been characterized by mild volatility. The uptrend makes it appealing to long-term investors, while the mild volatility appeals to short-term and active traders.

Either way, but especially for active traders, it is important to determine the factors influencing EBAY's stock price before pressing the BUY button. Below, we discuss a few:

  • Macroeconomics: Overall economic factors like rising inflation and cost of living, political tension internationally, and supply chain problems caused by lockdowns in China have all contributed to the plummeting eBay stock price. Watch out for such events when trading EBAY.
  • Company financial health: eBay stock price will often rise when the company posts revenue gains or announces higher dividends – and vice versa.
  • Projected growth: eBay is constantly launching new technology enterprises or acquiring existing ones. In the first quarter of 2023, for instance, the eCommerce giant is expected to acquire TCG Player – an online marketplace for collectible trading card games. This and other acquisitions reflect positively on the company's future outlook, which has a positive impact on EBAY share price.
  • Industry trends: eBay's stock price is also influenced heavily by market and industry trends. Much of its value loss throughout 2022, for instance, could be attributed to bearish sentiments across the stock market – which has been even worse for technology stocks. For example, NASDAQ 100 index – in which EBAY belongs – has lost more than 32% in 2022 - while the likes of META (formerly Facebook) have lost close to 70% of their value this year).

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Step 3: Open A Share Investor Account And Buy eBay Stock 

Do you want to start investing in eBay shares today? Here is a step-by-step guide detailing the eBay stock buying process on the multi-regulated and highly reputable eToro trading platform:

1. Open a stock broker account 

Begin by registering a share investor with eToro. The broker maintains a smooth client onboarding process, taking a few minutes and will only ask for your basic personal information. The registration form seeks to capture such details as your name and phone number, address and country of residence, trading experience and income source. You will also need to decide on the account name and create a strong password.

open trading account

2. Verify your identity

The registration process is, however, only complete after you've verified your identity. Simply furnish the broker with a copy of your national ID, passport, or driver's license and wait for the account approval confirmation email.

etoro account verification

3. Deposit funds

Log in to your approved trader account and hit the "Deposits Funds" icon on the user dashboard. A funding tab will pop up. From the list of supported payment methods, click on your preferred payment option and follow the prompts to fund your account. Note the minimum initial deposit is $10 for US and UK residents and $50 for everyone else.

fund account

4. Buy eBay stock

Once the funds reflect in your trader account, click on the "Discover" tab to reveal the supported assets. Choose "Stocks," and from the list of supported shares, find eBay and tap the "BUY" option. A trading tab will pop up. Use it to customize the trade by indicating the amount of eBay shares you wish to buy or the amount of cash you wish to spend on the trade.

buy ebay stock

buy eBay stock

Your capital is at risk. Other fees apply.

eBay Stock's Strengths And Weaknesses

Before registering an account with a broker or hitting the buy button on eBay shares, you ought to first ask yourselves – is eBay worth investing in 2023?

To answer this, you need to compare and contrast the company's strengths and weaknesses. You need to look at both the benefits of investing in the eCommerce giant and the demerits of such an investment.

To help you get started, we have sampled a few factors that make eBay a great investment and a few reasons why it is not a good investment today.

Reasons to Buy eBay Stock in 2023

  • Strong financial performance: eBay has posted consistent revenue gains over the last few years. This has helped keep EBAY stock on an uptrend and played a key role in influencing the decision to introduce dividends in 2019. Fundamental and technical analysis indicates that eBay's stock price will continue rising – which makes eBay worth buying today.
  • Multiple revenue streams: One of the primary factors influencing eBay's stock price has been its revenue growth. Over the last few years, eBay has ventured into multiple businesses through launches and acquisitions. These are expected to continue driving company revenues and stock price up in the foreseeable future.
  • Resilience: eBay's resilience is evidenced by the fact that it is one of the few survivors of the dot-com crash. Since then, it has survived multiple other economy-crushing meltdowns, including the 2008 financial crisis and the most recent covid-19 pandemic.

Reasons Not to Buy eBay Stock

  • Slowing down economy: Now may not be the best time to invest in eBay or the stock market in general, primarily because the world is expected to enter into recession at some point in 2023.
  • Stiff competition: eBay faces stiff competition from eCommerce platforms both in the US and internationally. Some of its fiercest competitors include Amazon and Shopify, which have eaten massive chunks of its original market share.

For more guides on how to buy shares check out our other stock buying guides:

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Conclusion - How To Buy eBay Stock

eBay is one of the oldest and most successful eCommerce trading platforms in the world. Established in 1995, eBay went public in 1998, and for the last 26 years, both the company's net annual income and EBAY stock price have been on an overall uptrend. The share price, for instance, peaked in October 2021 when it hit $80, while the company's net revenues tore above $10 Billion in the same year.

eBay maintained the uptrending stock price action and annual revenue in the face of a declining market share, stiff competition from the likes of Amazon, and multiple global economic meltdowns. Heading into 2023, the global economy is staring at a possible recession. And there is nothing to suggest that eBay will reclaim its lost market dominance.

These notwithstanding, analysts are confident that eBay stock price will continue rising. Much of this will be driven by the projected 6% revenue gain and investor confidence in the brand – thanks to its resilient past.

eToro – Buy eBay (EBAY) Stock Today

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FAQs About How To Buy eBay (EBAY) Stock

How can I buy eBay shares today?

It is simple. Start by creating a user account with a regulated broker – like eToro or Capital.com. Deposit funds into this account, find eBay shares and place a buy order.

Does eBay pay dividends?

Yes, eBay started distributing dividends in 2019. Since then, the eCommerce giant has paid dividends in every quarter - and in 2022, the quarterly dividend distribution amount was $0.22.

Why is eBay's share price down today?

eBay stock price has tanked 35% in the last 12 months. This could be attributed to such factors as sustained bearish market trends throughout 2022 and below-target sales volume for the online trading platform.

Will eBay's stock price rise in 2023?

No one can tell with utmost accuracy whether eBay's stock price will rebound and resume the 2021 rally in 2023. While annual sales and company revenue projections for the year are positive and could result in a stock price gain, there is a general feeling the world may enter into recession – crashing the stock market and EBAY share price with it.