eBay is considering a plan to cut at least 3,000 jobs, or about 10% of its workforce, early next year as it prepares to spinoff PayPal, according to the Wall Street Journal. The cut jobs will reportedly come from the marketplace division which includes eBay.com and StubHub, which is growing slower than the PayPal unit.
The reported job cuts would help lower eBay's operating costs, and make it a candidate for a buyout, according to the Wall Street Journal.
Must Read: Warren Buffett's 25 Favorite Stocks
TheStreet Ratings team rates EBAY INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate EBAY INC (EBAY) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, increase in stock price during the past year, good cash flow from operations and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income."