eBay's shares dropped over 12% on Friday after Lehman Brothers analyst Holly Becker issued a cautionary report on the company. eBay's stock tumbled more than $5 a share in midday trading to $34, off 65% from its highs last year. Calling the valuation on the stock "rich," Becker stated that "The company would need to blow away 2001 estimates to outperform from its current level. Given our concerns about a slowing core business, a dependence on acquisitions for growth, and various execution risks associated with new initiatives, we view this as unlikely." While Becker admitted that eBay's competitive advantage will likely widen over time, she did not view eBay as a takeover candidate, to her disappointment.