B. Riley Has Negative Outlook for Etsy FY2025 Earnings

Etsy, Inc. (NASDAQ:ETSY) – Equities researchers at B. Riley lowered their FY2025 EPS estimates for Etsy in a research note issued to investors on Thursday, October 31st. B. Riley analyst N. Khan now forecasts that the specialty retailer will earn $2.53 per share for the year, down from their prior estimate of $3.08. The consensus estimate for Etsy’s current full-year earnings is $2.30 per share. B. Riley also issued estimates for Etsy’s FY2026 earnings at $2.61 EPS, FY2027 earnings at $2.69 EPS and FY2028 earnings at $2.76 EPS.

Other research analysts also recently issued research reports about the stock. Citigroup cut their price target on shares of Etsy from $65.00 to $54.00 and set a “neutral” rating on the stock in a report on Thursday. Needham & Company LLC reaffirmed a “buy” rating and issued a $60.00 price target on shares of Etsy in a research report on Thursday. Cantor Fitzgerald restated a “neutral” rating and issued a $50.00 price objective on shares of Etsy in a research note on Monday, October 7th. Bank of America lowered their price target on Etsy from $61.00 to $58.00 and set a “neutral” rating on the stock in a research note on Thursday, October 24th. Finally, Truist Financial lowered their price target on shares of Etsy from $76.00 to $70.00 and set a “buy” rating on the stock in a report on Thursday. Four equities research analysts have rated the stock with a sell rating, twelve have issued a hold rating, seven have given a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and an average price target of $64.87.

Etsy Stock Performance

Shares of ETSY opened at $52.77 on Monday. The firm has a market cap of $6.06 billion, a PE ratio of 26.92, a PEG ratio of 5.94 and a beta of 1.99. The firm’s 50 day moving average price is $52.60 and its 200 day moving average price is $58.08. Etsy has a twelve month low of $47.10 and a twelve month high of $89.58.

Etsy (NASDAQ:ETSY) last posted its quarterly earnings results on Wednesday, October 30th. The specialty retailer reported $0.45 earnings per share for the quarter, missing analysts’ consensus estimates of $0.54 by ($0.09). The firm had revenue of $662.40 million for the quarter, compared to analysts’ expectations of $652.47 million. Etsy had a negative return on equity of 46.79% and a net margin of 9.17%. The firm’s revenue for the quarter was up 4.1% on a year-over-year basis. During the same period last year, the business earned $0.64 earnings per share.

Etsy announced that its Board of Directors has approved a stock repurchase program on Wednesday, October 30th that authorizes the company to buyback $1.00 billion in outstanding shares. This buyback authorization authorizes the specialty retailer to repurchase up to 17.8% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board believes its stock is undervalued.

Insider Transactions at Etsy

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

Institutional Trading of Etsy

A number of hedge funds have recently modified their holdings of the company. Marshall Wace LLP increased its stake in Etsy by 304.2% in the second quarter. Marshall Wace LLP now owns 1,402,216 shares of the specialty retailer’s stock valued at $82,703,000 after purchasing an additional 1,055,296 shares in the last quarter. Renaissance Technologies LLC grew its stake in Etsy by 21.1% in the second quarter. Renaissance Technologies LLC now owns 4,215,370 shares of the specialty retailer’s stock valued at $248,623,000 after acquiring an additional 734,200 shares during the period. Van ECK Associates Corp increased its holdings in shares of Etsy by 14.3% in the second quarter. Van ECK Associates Corp now owns 5,764,064 shares of the specialty retailer’s stock worth $339,964,000 after acquiring an additional 721,454 shares in the last quarter. Pacer Advisors Inc. raised its position in shares of Etsy by 52.3% during the second quarter. Pacer Advisors Inc. now owns 2,100,284 shares of the specialty retailer’s stock worth $123,875,000 after purchasing an additional 721,453 shares during the period. Finally, AQR Capital Management LLC lifted its holdings in shares of Etsy by 76.2% during the 2nd quarter. AQR Capital Management LLC now owns 1,196,932 shares of the specialty retailer’s stock valued at $69,685,000 after purchasing an additional 517,480 shares in the last quarter. 99.53% of the stock is currently owned by institutional investors and hedge funds.

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.