eBay Inc (EBAY): The Industry to Watch Out For

Overstock.com, Inc. (NASDAQ:OSTK), another online retailer, has come a long way from where it started, and it currently offers personal items, electronics, cars and many other items. Though Overstock.com is very small compared to its competitors, it’s a growing company and thus has a lot of potential to deliver for its shareholders.

The company turned around well in 2012 after a bad patch in 2011, and currently has a strong debt free balance sheet with a large amount of cash. It is expected to grow at a rate of 34% in the coming five years as online retail business grows. Furthermore, Overstock.com, Inc. (NASDAQ:OSTK)can be genuinely benefited, if it expands internationally through organic and inorganic growth projects, as almost its entire revenue comes from the U.S. currently.

Final words

eBay Inc (NASDAQ:EBAY)’s core business and mobile innovation is expanding annually at a decent pace, which will make the company’s future growth expectations realizable. Further, the $10 trillion commerce market gives the company a lot of opportunities for growth. eBay’s commerce volume of $49 billion in the first quarter means that the company is heading in the right direction towards its $300 billion target of commerce volume annually by 2015. Lastly, the online market is expanding, which will not hamper the co-existence of both the titans Amazon.com, Inc. (NASDAQ:AMZN) and eBay.

tarun bachhawat has no position in any stocks mentioned. The Motley Fool recommends Amazon.com and eBay. The Motley Fool owns shares of Amazon.com and eBay.

The article The Industry to Watch Out For originally appeared on Fool.com.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.