Is eBay, Inc. overvalued or undervalued?

As of 17 October 2025, eBay, Inc. has moved from a very expensive valuation to a fair valuation. The company appears to be fairly valued based on its current metrics, with a P/E ratio of 56, a Price to Book Value of 24.49, and an EV to EBITDA of 42.85. In comparison, its peer Lululemon Athletica, Inc. has a more attractive P/E ratio of 11.49 and an EV to EBITDA of 6.69, indicating that eBay's valuation is higher relative to its peers.
Despite being fairly valued, eBay has shown strong performance, with a year-to-date return of 48.52%, significantly outpacing the S&P 500's return of 13.30% over the same period. This performance suggests that while the stock is fairly valued, it has been a strong performer in the market recently.