B. Riley Issues Pessimistic Forecast for Etsy Earnings

Etsy, Inc. (NASDAQ:ETSY) – Analysts at B. Riley decreased their FY2024 earnings per share estimates for shares of Etsy in a research report issued on Thursday, October 31st. B. Riley analyst N. Khan now anticipates that the specialty retailer will post earnings per share of $2.23 for the year, down from their previous forecast of $2.37. The consensus estimate for Etsy’s current full-year earnings is $2.37 per share. B. Riley also issued estimates for Etsy’s Q4 2024 earnings at $0.99 EPS, Q1 2025 earnings at $0.45 EPS, Q2 2025 earnings at $0.54 EPS, Q3 2025 earnings at $0.50 EPS and Q4 2025 earnings at $1.04 EPS.

Etsy (NASDAQ:ETSY) last posted its quarterly earnings data on Wednesday, October 30th. The specialty retailer reported $0.45 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.54 by ($0.09). Etsy had a net margin of 9.17% and a negative return on equity of 47.52%. The company had revenue of $662.40 million during the quarter, compared to the consensus estimate of $652.47 million. During the same quarter last year, the business earned $0.64 earnings per share. The company’s revenue was up 4.1% on a year-over-year basis.

A number of other analysts have also issued reports on ETSY. Loop Capital reduced their target price on Etsy from $50.00 to $45.00 and set a “sell” rating for the company in a report on Monday, August 12th. Evercore ISI upgraded Etsy to a “strong-buy” rating in a research report on Thursday, August 1st. Citigroup dropped their target price on Etsy from $65.00 to $54.00 and set a “neutral” rating on the stock in a report on Thursday. Wolfe Research initiated coverage on shares of Etsy in a report on Tuesday, July 16th. They set a “peer perform” rating for the company. Finally, Wedbush dropped their price objective on shares of Etsy from $65.00 to $58.00 and set a “neutral” rating on the stock in a research note on Tuesday, October 22nd. Four investment analysts have rated the stock with a sell rating, twelve have assigned a hold rating, seven have given a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, Etsy presently has a consensus rating of “Hold” and an average target price of $64.87.

Etsy Stock Up 2.6 %

Shares of NASDAQ ETSY opened at $52.77 on Friday. Etsy has a 52-week low of $47.10 and a 52-week high of $89.58. The stock has a market capitalization of $6.06 billion, a price-to-earnings ratio of 26.92, a PEG ratio of 5.39 and a beta of 1.97. The stock’s fifty day simple moving average is $52.60 and its 200 day simple moving average is $58.15.

Etsy declared that its board has authorized a stock repurchase program on Wednesday, October 30th that allows the company to repurchase $1.00 billion in shares. This repurchase authorization allows the specialty retailer to buy up to 17.8% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other Etsy news, insider Toni Thompson Nadal sold 1,443 shares of the stock in a transaction that occurred on Thursday, October 3rd. The stock was sold at an average price of $51.11, for a total transaction of $73,751.73. Following the transaction, the insider now directly owns 592 shares in the company, valued at approximately $30,257.12. This represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. In other news, insider Nicholas Daniel sold 750 shares of Etsy stock in a transaction dated Tuesday, October 1st. The shares were sold at an average price of $53.15, for a total transaction of $39,862.50. Following the completion of the transaction, the insider now directly owns 25,121 shares in the company, valued at $1,335,181.15. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Toni Thompson Nadal sold 1,443 shares of the business’s stock in a transaction that occurred on Thursday, October 3rd. The stock was sold at an average price of $51.11, for a total value of $73,751.73. Following the sale, the insider now directly owns 592 shares of the company’s stock, valued at $30,257.12. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 4,619 shares of company stock valued at $240,825 over the last quarter. Insiders own 2.60% of the company’s stock.

Hedge Funds Weigh In On Etsy

Several hedge funds have recently modified their holdings of the company. Blue Trust Inc. raised its position in Etsy by 106.5% in the third quarter. Blue Trust Inc. now owns 448 shares of the specialty retailer’s stock worth $26,000 after acquiring an additional 231 shares during the period. UMB Bank n.a. lifted its stake in Etsy by 112.3% in the third quarter. UMB Bank n.a. now owns 552 shares of the specialty retailer’s stock valued at $31,000 after purchasing an additional 292 shares during the last quarter. Larson Financial Group LLC lifted its stake in Etsy by 1,576.5% in the first quarter. Larson Financial Group LLC now owns 570 shares of the specialty retailer’s stock valued at $39,000 after purchasing an additional 536 shares during the last quarter. 1620 Investment Advisors Inc. bought a new position in Etsy during the second quarter valued at $42,000. Finally, Capital Performance Advisors LLP purchased a new stake in Etsy in the third quarter worth $43,000. Institutional investors own 99.53% of the company’s stock.

About Etsy

Etsy, Inc, together with its subsidiaries, operates two-sided online marketplaces that connect buyers and sellers in the United States, the United Kingdom, Germany, Canada, Australia, and France. Its primary marketplace is Etsy.com that connects artisans and entrepreneurs with various consumers. The company also offers Reverb, a musical instrument marketplace; Depop, a fashion resale marketplace; and Elo7, a Brazil-based marketplace for handmade and unique items.