In an article on Forbes, it was reported that eBay Inc (NASDAQ:EBAY) has a number of market barriers and drivers which can be decisive in the company business in the coming days. The source said that as of 2014, eBay failed to impress the investors. Its stock price kept tumbling and roaming around $48 and now it is brushing $55. eBay Inc (NASDAQ:EBAY) major potential lies in the payment business. The source said that globally, the payment business both from mobile and PC platforms is increasing. According to a survey, by 2017, the payments industry will touch around $721 billion.
The source also said that eBay Inc (NASDAQ:EBAY) can get the most out of this payments business by sustaining its working relationship with PayPal. According to another survey, the Business-to-Consumer (B2C) market will worth around $2.3 trillion by 2017. eBay Inc (NASDAQ:EBAY) has a massive advantage in this sector as well. The company is no longer restricted to web stores; it has multiple platforms and penetration in major domains of retail market.
Asset less marketplace business model of eBay Inc (NASDAQ:EBAY) helps it enjoy free cash flows and sound margins, said the article. Its shareholder value will face positive effects after the upcoming split of the company from PayPal. eBay Inc (NASDAQ:EBAY) could use this split as a positive factor but it should maintain a smooth working relationship with the payment juggernaut even after the split.
Business-to-consumer (B2C) e-commerce market will reach around $2357 billion by the end of 2017 and the source thinks that eBay Inc (NASDAQ:EBAY) has the moat to take risk and expand its business with its 150 million active buyers.
Carl Icahn’s Icahn Capital Lp is the largest institutional investor in eBay Inc (NASDAQ:EBAY) with over 30.80 million shares in the company by June 30.