Updated from 4:35 p.m.eBay ( EBAY) rose 5% late Wednesday, despite offering disappointing guidance for the third straight quarter. eBay said after the market closed that its third-quarter numbers wouldn't measure up, making it the latest Internet giant to raise slowdown worries. But investors applauded a big stock buyback and an increase in fees at the San Jose, Calif., online auction company. For the second quarter, net income fell to $249.9 million, or 17 cents per share, from $291.6 million, or 21 cents, a year earlier. Sales jumped 30% to $1.41 billion. On an adjusted basis, excluding certain costs including stock-based compensation, the company's earnings were 24 cents a share, matching the Thomson Financial estimate. "eBay had a good quarter," CEO Meg Whitman says in an interview with TheStreet.com. "We all felt like it could have been better." The largest Internet auction site also threw investors a juicy bone, raising fees on its store listings and announcing a first-ever $2 billion stock buyback. "$2 billion over two years is nearly not a whole lot,'' says Martin Pyykkonen of Crown Global Capital, who has a neutral rating on eBay. "Frankly, that seems weak.'' Nonetheless, Pyykkonen says the fact that eBay even posted an in-line quarter is seen positively given the low expectations investors had for the company. And indeed, news of the buyback and fee boost overshadowed eBay's disclosure that it expects to earn 22 or 23 cents a share for the third quarter on sales of $1.36 billion to $1.43 billion. Analysts were expecting earnings of 24 cents a share on revenue of $1.43 billion, according to Thomson Financial. The dance with disappointing guidance is nothing new for eBay, whose shares have been hit hard after the company twice rolled out in-line earnings and soft guidance. Tech fans are coming off Tuesday's disappointment from Yahoo! ( YHOO), which said the improvements to its search technology would start later than it had planned.