Tuesday, April 12, 2005

eBay death march

Looking at eBay's share price over the last 5 trading sessions is like looking at the cross-section of a very steep deep valley. Unfortunately the left hand side. The shares have gradually and steadily given up 11%! There is no particular bad news around so I can only conclude that it is negative sentiment before the Q1 earnings report next week. There is a rumour that guidance is going to be reduced.

Are the earnings really going to be that bad? I thought this sort of negative sentiment was already priced in.

My silly prediction that eBay would never again close below $35 looked good for a few weeks but now looks very silly. Serves me right for making predictions.

What next? $30? Aaagh!

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