Etsy (NYSE:ETSY) Cut to Hold at Zacks Research

Zacks Research downgraded shares of Etsy (NYSE:ETSY) from a strong-buy rating to a hold rating in a research note issued to investors on Monday morning,Zacks reports.

Other research analysts have also issued research reports about the company. Canaccord Genuity Group set a $92.00 price objective on Etsy in a report on Thursday, August 6th. Citigroup raised their target price on Etsy from $60.00 to $92.00 and gave the company a “neutral” rating in a report on Friday, August 7th. UBS Group boosted their target price on shares of Etsy from $74.00 to $86.00 and gave the stock a “neutral” rating in a research report on Friday, August 7th. Bank of America raised shares of Etsy from a “neutral” rating to a “buy” rating and upped their price target for the stock from $88.00 to $95.00 in a research note on Thursday, August 20th. Finally, Argus increased their price target on shares of Etsy from $67.00 to $89.00 and gave the company a “buy” rating in a report on Tuesday, September 8th. Two equities research analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, eighteen have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, Etsy has a consensus rating of “Hold” and an average price target of $86.21.

Etsy Stock Up 0.3%

Shares of Etsy stock opened at $71.58 on Monday. The firm has a market cap of $6.79 billion, a price-to-earnings ratio of 39.99, a price-to-earnings-growth ratio of 1.78 and a beta of 1.86. Etsy has a 52-week low of $44.00 and a 52-week high of $87.97. The company’s 50-day simple moving average is $77.46 and its 200-day simple moving average is $70.58.

Etsy (NYSE:ETSY) last announced its quarterly earnings data on Wednesday, August 5th. The company reported ($0.49) earnings per share for the quarter, missing analysts’ consensus estimates of $0.75 by ($1.24). Etsy had a net margin of 7.32% and a negative return on equity of 34.18%. The business had revenue of $668.31 million during the quarter, compared to analysts’ expectations of $646.10 million. During the same period in the prior year, the firm posted $0.25 EPS. Etsy’s revenue for the quarter was down .7% compared to the same quarter last year. Equities research analysts anticipate that Etsy will post 3.94 EPS for the current year.

Insider Transactions at Etsy

In other Etsy news, Director Frederick Wilson sold 20,000 shares of the firm’s stock in a transaction dated Tuesday, September 1st. The shares were sold at an average price of $81.86, for a total transaction of $1,637,200.00. Following the completion of the transaction, the director directly owned 401,329 shares in the company, valued at approximately $32,852,791.94. This trade represents a 4.75% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Charles Ballard sold 4,500 shares of Etsy stock in a transaction dated Wednesday, August 26th. The stock was sold at an average price of $81.85, for a total transaction of $368,325.00. Following the transaction, the director owned 4,239 shares of the company’s stock, valued at approximately $346,962.15. The trade was a 51.49% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 165,822 shares of company stock worth $13,483,406. Corporate insiders own 2.50% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of ETSY. Global Retirement Partners LLC acquired a new stake in Etsy during the 2nd quarter valued at $34,000. EFG International AG acquired a new position in shares of Etsy in the second quarter worth $45,000. CoreCap Advisors LLC raised its holdings in shares of Etsy by 2,379.1% in the second quarter. CoreCap Advisors LLC now owns 1,066 shares of the company’s stock worth $80,000 after acquiring an additional 1,023 shares during the last quarter. Blue Trust Inc. raised its holdings in shares of Etsy by 19.3% in the first quarter. Blue Trust Inc. now owns 1,238 shares of the company’s stock worth $62,000 after acquiring an additional 200 shares during the last quarter. Finally, Johnson Financial Group Inc. purchased a new stake in shares of Etsy in the second quarter valued at $105,000. 99.53% of the stock is owned by hedge funds and other institutional investors.

Etsy News Summary

Here are the key news stories impacting Etsy this week:

• Positive Sentiment: Etsy’s efforts to reduce freight-related emissions could improve its sustainability profile and potentially lower shipping-related costs over time. However, the financial impact is likely to be gradual. How Etsy is pushing freight decarbonization
• Neutral Sentiment: New guides and consumer content highlighting how to open an Etsy shop and discover unusual products may support seller engagement and marketplace activity, but these items do not represent material financial announcements. Beginner’s Guide to Opening an Etsy Shop
• Negative Sentiment: Zacks Research downgraded Etsy from “strong buy” to “hold.” The change may weigh on sentiment by signaling reduced confidence in the stock’s near-term upside, particularly after its recent pullback from its 12-month high. Etsy Stock Dropped to Hold by Zacks Research
• Negative Sentiment: Two Etsy insiders sold a combined 5,868 shares for approximately $418,500. The transactions were conducted under pre-arranged Rule 10b5-1 plans, which reduces their significance as a discretionary bearish signal, but the sales may still add modest pressure to investor sentiment. Etsy insider transaction filing
• Negative Sentiment: Chief Executive Officer Josh Silverman also recently sold 2,090 shares under a 10b5-1 plan. Although the sale reduced his position by less than 1%, it follows several earlier sales and may reinforce concerns about insider selling. Etsy insider Josh Silverman sells shares

About Etsy

Etsy, Inc operates a global online marketplace focused on unique and creative goods. Its platform connects buyers with independent sellers offering handmade products, vintage items, craft supplies, personalized merchandise, home décor, jewelry, clothing, and other specialty goods.

The company generates revenue primarily through marketplace services, including seller listing and transaction fees, payment processing, advertising, and other seller-focused services. Etsy also provides tools intended to help independent merchants manage their shops, market products, process orders, and reach customers.

Founded in 2005 and headquartered in Brooklyn, New York, Etsy serves buyers and sellers in numerous countries.