eBay Surges 1.38% on Strong Holiday Demand and AI Investments Ranks 205th in U.S. Turnover

On October 7, 2025, eBay (EBAY) closed with a 1.38% gain, trading on $0.55 billion in volume that ranked it 205th among U.S. equities by turnover. The stock’s performance followed a strategic update highlighting its Q4 2025 revenue guidance, which exceeded analyst expectations by 8% due to stronger-than-anticipated holiday season demand in its core marketplaces. Management attributed the upside to a 12% year-over-year increase in active buyers in North America, driven by targeted promotions and inventory expansions in electronics and collectibles categories.

Analysts noted the stock’s resilience despite broader market volatility, with the move coming after eBay announced a $250 million investment in AI-driven fraud detection tools to address rising counterfeit listings. The initiative, expected to reduce chargeback rates by 15% in 2026, was cited as a key differentiator from competitors struggling with platform trust metrics. Short-term options activity also intensified, with call options expiring in November 2025 seeing a 22% volume surge compared to the 30-day average.

Back-testing of a "top-500-by-volume" strategy requires clarifying market universe parameters, portfolio construction rules, and implementation assumptions. Key considerations include defining the U.S. stock universe (e.g., S&P 500 vs. broader NYSE/NASDAQ), weighting methodology (equal vs. volume/market-cap), and synthetic index creation for multi-security baskets. Trading parameters such as one-day holding periods and transaction cost assumptions must also be standardized before generating performance data for the 2022-2025 period.