eBay (NASDAQ: EBAY) Acquires myFitment to Improve Auto Parts Sales

First online marketplace eBay Inc. (NASDAQ: EBAY) acquired the myFitment group of companies. myFitment is an e-commerce platform that offers software tools for sellers of automotive and powersports parts and accessories.

Financial terms of the transaction were not disclosed.

eBay’s decision to make it a leading online player in car accessories

The online automotive parts and accessories market is expected to reach $140 billion by 2027 from its current market size of approximately $19 billion. To that end, eBay’s decision to acquire a leading player in this space, such as myFitment, aligns with the company’s growth strategy.

Notably, myFitment’s tools help sellers by ensuring customers order the correct parts and accessories for their vehicles, resulting in minimal returns and increased buyer satisfaction.

Meanwhile, eBay’s acquisition frenzy continues. Recently, the e-commerce pioneer bought TCGplayer for $295 million. TCGplayer is an online marketplace for trading card game enthusiasts.

Investors are stocking up on eBay stocks

Major investors remain confident about eBay’s prospects and are stocking up on the company’s stock.

TipRanks’ Stock Investors tool shows that top investors currently hold a very positive position on EBAY. Additionally, 7.7% of top portfolios tracked by TipRanks have increased their exposure to EBAY stocks over the past 30 days.

East eBay Stock Worth buying?

Overall, the Wall Street community is cautiously bullish on EBAY stock, with a Moderate Buy consensus rating based on eight buys, 11 holds and two sells. The average EBAY stock price forecast of $53.89 implies upside potential of 18.6% from current levels. Shares are down 37.6% over the past year.

Final Thoughts

With the addition of myFitment to its portfolio, eBay can make its presence felt in the auto parts space. The presence of such technology-based tools, along with the other recent takeovers, will help the company differentiate itself from competing online marketplaces.

Read full disclosure

About Dwight E. McCray

Check Also

Toyoda Gosei puts cellulose nanofiber reinforced plastic into practice for auto parts

KIYOSU, Japan–(BUSINESS WIRE)–Toyoda Gosei Co., Ltd. (TOKYO: 7282) applied a cellulose nanofiber (CNF) reinforced plastic …