eBay Q3 2026: Depop Fuels a Beat on Both Lines
As seen on the 24/7 Wall St. homepage on October 28, 2026.
The $1.4 billion Depop deal is already paying: U.S. gross merchandise volume rose 27% to $12.5 billion, beating expectations on both lines. The catch is margin, with GAAP operating margin slipping to 19.2% and restructuring charges landing next quarter.
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eBay posted adjusted EPS of $1.51 for Q3 2026, beating expectations for a fifth straight quarter and giving the turnaround a credibility marker investors can price in now.
The accelerant was the $1.4 billion Depop acquisition, which closed July 30 and delivered roughly two months of results. Strip it out and organic buyer growth was just 1%.
Margin is the complication: GAAP operating margin slipped to 19.2% from 20.3% a year earlier. The growth is being bought, not earned yet.
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Q4 guidance of $3.19 to $3.24 billion in revenue holds the line even with restructuring charges tied to planned workforce reductions. Management is treating the margin squeeze as a transition cost.
First-party advertising revenue rose 16% to $575 million, a higher-margin offset investors are underweighting while they focus on Depop.
Mentioned: EBAY