eBay Inc. (EBAY)'s Algorithims Are Working, Says Jim Cramer

We recently published 10 Stocks Jim Cramer Talked About As He Warned About “Have-Not” Stocks. eBay Inc. (NASDAQ:EBAY) is one of the stocks Jim Cramer recently discussed.

eBay Inc. (NASDAQ:EBAY) is an eCommerce retailer whose shares have gained 47% year-to-date. Most of these gains are due to an 18.3% jump in July after the firm’s second-quarter earnings report. The results saw eBay Inc. (NASDAQ:EBAY) beat analyst second-quarter revenue and EPS estimates of $2.64 billion and $1.30 by posting $2.73 billion and $1.30, respectively. The firm’s third quarter revenue guidance of $2.69 billion and $2.74 billion also overshot analyst estimates of $2.66 billion. Here’s what Cramer believes about eBay Inc. (NASDAQ:EBAY)’s strong performance:

“Now one David, that I know that you will remember from the old days that really is putting on a good show, would be eBay. They’ve got their mojo back. It’s up 15%, they had very good numbers, and I salute them. They hung in and now their model is working. They’ve got the algos working so to speak. And a lot of people upgraded it. That’s to me, better focus, better focus.”

Earlier, Cramer discussed eBay Inc. (NASDAQ:EBAY)’s marketplace and shifting sentiment:

“There’s no real theme to the other stocks on the list… eBay’s a real shocker. It’s come a long way to get back on this list. Now, I’ve watched this stock get carved up for ages, but now it looks like eBay has stopped being a whipping boy, and people are feeling comfortable buying merchandise second-hand. Has a partnership with Facebook’s Marketplace, which has spurred real growth for the company. I like that, by the way, that marketplace section.”

While we acknowledge the potential of EBAY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.