eBay shares take a hammering

Despite predictions of long-term growth...

eBay shares took a tumble overnight despite re-iterating that it would continue its aggressive long-term growth. Shares closed down 7.9 per cent after the company said revenues would fall somewhere between $1.05bn to $1.1bn. Industry analysts have said that if eBay fails to hit the upper end of this estimate it will not be on track to reach its long-term revenue target of £3bn by 2005. The company also hinted that it would look to attract more business in its cars and computers categories. These areas have experienced impressive growth over the last couple of years.