eBay Stock Plunges as Daily Trading Volume Dives 46% to Rank 250th Amid Divergent Analyst Targets and Institutional Skepticism

On August 25, 2025, eBay (EBAY) closed with a 0.68% decline, marking a daily trading volume of $350 million—a 46.39% drop from the prior day, ranking it 250th in market activity. The stock faced renewed scrutiny as B of A Securities analyst Justin Post set a $101.0 price target, the highest among recent forecasts, which contrasted with a median target of $85.0 from 21 analysts over six months. This divergence highlighted mixed sentiment amid broader institutional divestments.

Insider trading activity intensified, with key executives offloading shares totaling an estimated $22.6 million. CEO Jamie Iannone sold 159,024 shares, while Chief Growth Officer Julie A Loeger disposed of $22.6 million worth of stock. These sales underscored caution among top leadership, aligning with broader institutional trends. Hedge funds further reduced holdings, with major firms like UBS Group AG and Ameriprise Financial Inc cutting positions by over 50% in Q2 2025, collectively shedding $928 million in value.

Political trading data revealed two congressional transactions, including Rep. Lisa McClain’s $15,000 purchase and sale. However, these had limited immediate impact on market dynamics. Analysts noted the price target updates as a key driver of short-term volatility, with Susquehanna’s $95.0 and Barclays’ $92.0 targets reinforcing the stock’s potential for moderate upside. Long-term institutional exits, however, signaled skepticism about near-term growth prospects.

The strategy of buying the top 500 stocks by daily trading volume and holding them for one day yielded a total profit of $2,940 from December 2021 to August 2025, with a maximum drawdown of -$1,960. The approach achieved a Sharpe ratio of 1.53, reflecting strong risk-adjusted returns. December 2021 was the best-performing month (+$840), while August 2025 recorded the worst outcome (-$790).