Have you noticed that Donahoe and the board of Directors have only addressed the break up of eBay and PayPal. The fact remains that the two Board members mentioned are a conflict of interest and have participated in eBay dealings with Skype and other companies. EBay's board is riddled with professional Wall St. gamers.
Its about time that somebody steps up to the plate and starts exposing the way that this company treats Shareholders. They gave Skype away to a fellow board member, instead of taking it public. The reason they never have paid a dividend to shareholders is so the board can keep issuing stock options to the board of directors.
I am not a fan of Icahn.......but I admire the fact that he is exposing the ebay board for what they really are, a bunch of Wall St. gamers.
The daily chart at 11:00 am looks like one hell of a roller coaster ride to the finish. 51.00 and change is looking like todays finish.
As long as Donahoe keeps issuing stock options to himself and the board of Directors, the growth of the company will remain at a standstill or regress. Motley Fool put the story right in front of you and yet, people here are still suggesting a stock dividend and crazy growth. The hole in the balloon is stopping it from rising! Too bad you can't wish the stock up! LOL
Their is not going to be any dividend! Where have you been? Donahoe is financing stock options with shareholder money. This is all about manipulating the money machine. Paying out a dividend will only cut into his and the Board of directors stock options. The article that I quoted makes it quite clear. That is why they make money hand over fist and the stock price does not go up.
What really matters is how shareholders haven't seen the rewards of eBay's success. In the full year 2013, eBay generated free cash flow of roughly $3.75 billion. This is actual cash -- dollars and cents -- that could be paid out to shareholders. In a world where most dot-coms are mere start-ups losing cash, eBay is a money-making machine.
Unfortunately, eBay shareholders aren't the first priority. The company doesn't pay a dividend, but it did spend $1.34 billion to repurchase stock in 2013. Ordinarily, this would be great for shareholders. Share count should go down, earnings per share go up, and each share is worth more of the company than it was before. Fair enough.
Except, this didn't happen. Instead, eBay has merely covered up the cost of its aggressive stock and option programs. eBay started 2013 with 1.319 billion diluted in shares outstanding, and ended with an estimated 1.307 billion shares outstanding. eBay essentially paid $111.83 per share in share count reduction, all the while its shares were available at or around $50. The bulk of share repurchases just covered up compensation.
Perfect data won't be out until the annual report hits the SEC website, but if we were to make a rough graph of the efficiency of eBay's repurchases this year, the estimations would reveal a chart that looks like this:
This is how Donahoe and the board of directors cover up the cost of stock options. See this weeks news. This is why Ebay does not want to pay a dividend. They make a ton of money but it does not show up in the stock price. They say the price of the shares are undervalued.....If you are a shareholder.....they are screwing you!
All one poster,
I have only a few key items on Ebay. I maintain that 100% rating and I divert every customer I can to my other stores. I include my phone number in my advertising. I also ask that the customer leave a number where I can reach them. For me, its payback time! Once they see your ratings they will buy......and they love saving the 10%.
Ebay sellers cost are 13% of the sale. That includes 13% of the shipping cost to ship the item to you the buyer. These kind of margins are driving sellers & buyers away. Their are now many many sites that you can sell for free or a monthly fee and seller cost are fixed.
It is all these other sites that are eating into Ebay and they will continue going forward. I have two stores on other sites, I also have a few items still on Ebay. My prices for these items on Ebay have the 13% higher price. All the people with smart phones can now do price comparisons when searching for a item. The choice for shoppers in my stores is the item plus the credit card charge of 2.9% OR Buy it on Ebay in my listing and pay 13%
This is happening all over Ebay. The extra 10% is killing Ebay. Don't believe Donahoe's excuse that it is due to the uncertainty of the Washington Politicians.
This trend is not going away with current Ebay pricing policies.
By the way, my seller rating in both my stores is100% and I offer Paypal
The numbers are just not there! Retail is headed for the big slide. Their is nothing that eBay or any of the other retailers can do. Thanks to the do nothing Politicians it is coming home to roost!
Their are no jobs, everyone is getting squeezed, Gov't is running out of money and Obama can't fake it anymore! Good luck holding this stock through earnings.
Key updates to the eBay Buyer Protection Policy: •Simplification. We rewrote our Buyer Protection Policy to make it more clear and understandable.
•Resolution of item not as described cases. We updated the policy to clarify that we carefully weigh all the information provided in cases where a buyer claims that the item delivered is not as described in the listing. If we can't determine from the information we have that the item matches or doesn't match the listing description, we generally ask the buyer to return the item to the seller and will ask the seller to refund the buyer. In addition, we updated the policy to reflect that, if as a seller, you choose not to engage with the eBay Buyer Protection process on an item not as described case, we may seek to carry out a reimbursement from you without asking the buyer to return the item to you.
You gotta love that last sentence.......Ebay will reimburse the buyer with your funds and allow them to keep your item. With these kinda of rules......it is no wonder why sellers are leaving ebay.
It is only fitting for Paypal to now pay fees to Master Card, Visa, American Express etc. Anyone who has or had a ebay account over the years is now relishing this news....... What comes around goes around!