Analyst Note| Sean Dunlop |
Narrow-moat eBay announced its acquisition of nonfungible token marketplace KnownOrigin, citing the target's proficiency in blockchain-enabled digital collectibles and eBay's own technology-led reimagination in the press release. The terms were undisclosed. We expect neither the acquisition price nor the U.K.-based NFT marketplace's turnover to materially affect consolidated financials, and we plan to maintain our $65 fair value estimate for eBay. The shares look meaningfully undervalued.