NEW YORK (TheStreet) -- Shares of eBay (EBAY) - Get Report are increasing by 1.21% to $31.05 in afternoon trading on Tuesday, as Citi says the e-commerce giant could be an attractive target for purchase by Alphabet (GOOGL), Barron's reports.
Citi analysts noted that eBay is often overlooked in comparison to other large-cap Internet companies, according to Barron's.
The firm also maintained its "buy" rating on the stock and reiterated its $34 price target.
eBay reported better-than-expected earnings and revenue last week and Citi analysts say the results demonstrated several positive aspects of the business, such as its improved product listings.
"eBay remarked that it is starting to see a benefit from its product listings change (aka, "structured data initiative") on SEO results, which corroborates what we observed in our preview note here," Citi said in an analysts note according to Barron's.
The firm added that potential buyers could also come from international players such as Alibaba (BABA), companies like Wal-Mart (WMT) or private equity firms, among others.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
We rate EBAY INC as a Hold with a ratings score of C. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, increase in net income and revenue growth. However, as a counter to these strengths, we also find weaknesses including weak operating cash flow and generally higher debt management risk.
You can view the full analysis from the report here: EBAY