Etsy stock: buy or sell?

ETSY stock price: $54.09 -2.36% At close on August 23rd, 2019

Updated on:
August 23rd, 2019

2

Shares of Etsy fell a tragic -2.36% and closed at $54.09. On Aug 14th ETSY collapsed a frightening -5.49%.

Etsy, Inc. operates as a commerce platform to make, sell, and buy goods online and offline worldwide. Its platform includes its markets, services, and technology, which enables to engage a community of sellers and buyers.

Should I buy Etsy stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. That's why is so important to define your own trading strategy that matches with your character as inversor. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

Currently, Etsy stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Etsy stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we collected 15 ratings published for ETSY stock in the last month.

The general sentiment of these ratings is bullish for ETSY stock, with 7 positive ratings.
Is ETSY a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-2Stifel Nicolausn/aHold
2019-8-2Stifel Nicolausn/aHold
2019-7-25BTIG ResearchNeutralBuy
2019-7-1Needham & Company LLCBuyBuy
2019-4-4Canaccord Genuityn/aBuy
2019-3-8KeyCorpn/aOverweight
2019-3-8KeyCorpOverweightOverweight
2019-3-8BTIG ResearchBuyNeutral
2019-3-29Oppenheimern/aMarket Perform
2019-3-29CIBCMarket PerformMarket Perform
2019-3-13Royal Bank of Canadan/aHold
2019-3-11Morgan Stanleyn/aEqual Weight
2019-2-26WedbushNeutralIn-Line
2019-2-26Roth Capitaln/aBuy
2019-2-26Loop Capitaln/aBuy

Etsy stock analysis

Daily outlook

Etsy ended today at $54.09 and fell a tragic -2.36%.

Etsy closed today at $54.09 and fell a tragic -2.36%. Since price and SMA200d lines crossed down on Aug 5th, ETSY fell $-5.62 per share (-9.41%).

ETSY stock chart (daily)

Weekly outlook

After sliding a dreadful -7.26% in a week last week, Etsy closed this week at $54.09 and soared a very good 2.81%. Late July ETSY skyrocketed an exceptional 7.07% in just one week.

Far behind is the all-time high Etsy hit early March and since then the price is -26.26% below that top.

ETSY stock chart (weekly)

Etsy stock price history

Etsy stock went public on April 16th, 2015 with a price of $31.001. Since then, ETSY stock grew a 74.50%, with an average of 18.60% per year. If you had invested $1,000 in Etsy stock in 2015, it would worth $745.00 today.

1: Adjusted price after possible price splits or reverse-splits.

Etsy stock historical price chart

ETSY stock reached all-time highs on March with a price of $73.35.

Etsy stock price target is $74.70

How much a stock will be priced tomorrow or next week is quite unpredictable However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. We found 12 price forecasts for ETSY stock posted in the last month:
ETSY stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-2Stifel NicolausReiteratesn/a$70.00-
2019-8-2Stifel NicolausRaises Target$62.00$70.0012.9%
2019-7-25BTIG ResearchUpgradesn/a$79.00-
2019-7-1Needham & Company LLCInitiatesn/a$75.00-
2019-4-4Canaccord GenuityInitiatesn/a$85.00-
2019-3-8KeyCorpReiterates$75.00$90.0020%
2019-3-8KeyCorpRaises Target$75.00$90.0020%
2019-3-13Royal Bank of CanadaReiteratesn/a$60.00-
2019-3-11Morgan StanleyRaises Target$49.00$65.0032.7%
2019-2-26WedbushReiterates$50.00$60.0020%
2019-2-26Roth CapitalRaises Target$64.00$72.0012.5%
2019-2-26Loop CapitalRaises Targetn/a$80.00-
(in average)$62.50$74.7020.0%
The price target for Etsy stock is $74.70, moving in a range between $90.00 and $60.00. In average, analysts' outlook on ETSY price forecast is positive, improving the prediction by a 20.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Etsy presented cool results for 2018-Q4 on February. Etsy climbed Earnings per Share (EPS) by 23.10%, beating analysts consensus of $0.26. Etsy posted $0.32.
ETSY earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/an/an/a
2017-Q2-n/a0.16n/a
2017-Q32017-11-060.060.21250.0%
2017-Q42018-02-270.080.1587.5%
2018-Q12018-05-080.050.1100.0%
2018-Q22018-08-060.040.03-25.0%
2018-Q32018-11-060.060.15150.0%
2018-Q42019-02-250.260.3223.1%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

In 2018, Etsy annual turnover climbed an astounding 36.82% to $603.69 M USD from $441.23 marked in 2017. However, its earnings margin (compared to sales) fell to 12.84%, that is $77.49 million.

ETSY annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$125 M-$-0.80 M-0.6%-
2014$196 M56.45%$-15.24 M-7.8%1,814.95%
2015$273 M39.83%$-54.06 M-19.8%254.67%
2016$365 M33.44%$-29.90 M-8.2%-44.69%
2017$441 M20.90%$82 M18.5%-373.57%
2018$604 M36.82%$77 M12.8%-5.27%

Quarterly financial results

Etsy posted $200.03 M in revenues for 2018-Q4, a 33.03% improvement compared to previous quarter. Reported quarter income marked $41.25 million with a profit margin of 20.62%. Profit margin jumped a 7.39% compared to previous quarter when profit margin was 13.23%. When comparing revenues to same quarter last year, Etsy sales marked a super good growth and rocketed a 46.79%. Looking back to recent quarterly results, Etsy posted 3 negative quarters in a row.
ETSY quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$97 M-$0 M-0.4%-
2017-Q2$102 M4.95%$12 M11.5%-2,867.22%
2017-Q3$106 M4.61%$26 M24.3%121.48%
2017-Q4$136 M28.10%$45 M32.8%73.44%
2018-Q1$121 M-11.27%$13 M10.7%-71.02%
2018-Q2$132 M9.49%$3 M2.6%-73.94%
2018-Q3$150 M13.58%$20 M13.2%488.75%
2018-Q4$200 M33.03%$41 M20.6%107.35%

Etsy ownership

When you are planning to buy a company, it's always worth to review its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Etsy, 1.51% of all outstanding shares are owned by its staff.

Bearish positions for ETSY stock account 0.00%, no big difference from last month.

For a better understanding, the following table shows ownership data compared to other related companies:

ETSYAMZNEBAY
Market cap$6.5 B$888.4 B$34.9 B
Total shares120.2 M492.1 M871.5 M
Float shares111.7 M436.0 M790.0 M
  - Institutional holdings (%)99.2%57.1%88.0%
  - Insider holdings (%)1.5%16.1%5.3%
Shares in short selling0.0%0.0%0.0%

Etsy summary

Friday, August 23rd, 2019
Open$54.36
Close$54.09
Day range$53.83 - $55.50
Previous close$55.40
Session gain-2.36%
Average true range$2.18
50d mov avg$62.24
100d mov avg$63.71
200d mov avg$59.98
Daily patternlt03a
Weekly pattern

Etsy performance

To better understand Etsy performance you must becnhmark its gains with other related stocks in same sector or industry. For Etsy, the comparison is made against Amazon.com and eBay.
Stock3m6m12m
ETSYEtsy-16.41%-4.55%10.30%
AMZNAmazon.com-0.97%10.67%-5.24%
EBAYeBay11.14%7.50%16.72%

Etsy competitors

Creating a list of competitors for Etsy it's not an easy task. We selected 2 public companies that are related to and can be considered as competitors of Etsy:

Latest Etsy stock news