Etsy stock: buy or sell?

ETSY stock price: $40.86 -2.69% At close on November 19th, 2019

Updated on:
November 19th, 2019

2

Etsy shares dropped -2.69% to $40.86 today.

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?

Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Trading strategies are meant for helping you in the decision process of what stocks to choose and when is the best time to buy them. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

None of our preferred buy setups matches with Etsy stock situation right now, therefore this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean ETSY will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Etsy stock a buy?

Financial institutions and banks publish stock ratings everyday. At Stocks2.com, we collected 15 ratings published for ETSY stock in the last 30 days.

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
2019-9-19Royal Bank of CanadaSector PerformOutperform
2019-9-13WedbushNeutralOutperform
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

Etsy stock analysis

Daily outlook

Etsy ended today at $40.86 and dropped a godawful -2.69%.

Etsy shares dropped -2.69% to $40.86 today. Since September when ETSY stock price broke down the SMA200d line, it slid $-19.68 per share (-32.51%).

ETSY stock chart (daily)

Weekly outlook

Shares of Etsy fell a rough -2.71% this week. Early November ETSY plummed a spooky -8.72% in just one week.

Since late October, when ETSY stock price broke down the 20-weeks moving avarage line, it slid $-17.81 per share (-30.36%). Far behind is the all-time high Etsy recorded early March and since then the price is -44.29% below that top.

ETSY stock chart (weekly)

Etsy stock price history

Etsy IPO was on April 16th, 2015 at $31.00 per share1. Since then, ETSY stock surged a 31.80%, with an average of 8.00% per year. If you had invested right after ETSY's IPO a $1,000 in Etsy stock in 2015, it would worth $318.00 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 $74.40

How much a stock will be priced tomorrow or next week is quite unpredictable However, many stock price predictions are published every day by banks, financial institutions and independent analysts. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. For the last month we found 10 price predictions for Etsy stock:
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%
(in average)$62.20$74.4020.0%
Moving in a range from $90.00 and $60.00, the price forecast for ETSY stock is $74.40. In average, analysts' outlook on ETSY price target is positive, upgrading the prediction by a 20.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Etsy reported superb results for 2018-Q4 on February. Etsy skyrocketed Earnings per Share (EPS) by 23.10%, beating experts estimates 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 rocketed an outstanding 36.82% to $603.69 M dollars from $441.23 marked in 2017. When comparing 2018 vs 2017, by contrast, profit margin (that is, the net income divided by revenues) slipped a -5.70% to 12.84%.

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 reported $200.03 million in sales for 2018-Q4, a 33.03% up 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 an extraordinary growth and climbed a 46.79%. Looking back to recent quarterly results, Etsy posted 3 positive 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 shares of a stock, it's worth to have a look its ownership structure.

Etsy shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 1.51% of all shares.

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

The following table compares ownership indicators for other stocks related to Etsy:

ETSYAMZNEBAY
Market cap$4.8 B$868.9 B$28.6 B
Total shares118.5 M495.8 M813.5 M
Float shares109.8 M417.4 M774.4 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

Tuesday, November 19th, 2019
Open$42.36
Close$40.86
Day range$40.73 - $42.71
Previous close$41.99
Session gain-2.69%
Average true range$2.03
50d mov avg$52.96
100d mov avg$56.12
200d mov avg$60.46
Daily patternlt03a
Weekly pattern lb06a

Etsy performance

To measure stock performance is always good to benchmark with competitors or related stocks. In the following table, we compare Etsy performance to Amazon.com and eBay:
Stock3m6m12m
ETSYEtsy-24.46%-36.86%-9.74%
AMZNAmazon.com0.17%-3.88%16.68%
EBAYeBay-9.00%-2.15%24.78%

Etsy competitors

Defining 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