EBay trimmed its full-year revenue forecast, signaling a weaker-than-expected holiday shopping season for the e-commerce company as it prepares to split from its fast-growing payments arm, PayPal.
EBay’s report comes as weak economic data from the United States and China fan fears of a global slowdown, forcing investors to re-examine the world economy only just emerging from one of the worst recessions in history.
“We’ve gotten indications from some luxury retailers over the last couple of days that times have been more challenging,” said Scott Kessler, equity analyst at S&P Capital IQ.
“There are a lot of question marks when it comes to the sentiment on spending of consumers as we approach the holiday shopping season.”
EBay shares fell more than 3% in after-hours trading.