Last Updated: 10 Nov 2024
Executive Summary
Etsy Inc. (ETSY) is a leading e-commerce platform for handmade and vintage items. The company has a market capitalization of $6.01 billion and a trailing PE ratio of 27.25. Etsy's financial performance has been strong in recent quarters, with revenue and earnings growth. The company is expected to continue to grow in the future, driven by the increasing popularity of online shopping and the growing demand for handmade and vintage items.
Company Overview
Etsy was founded in 2005 and is headquartered in Brooklyn, New York. The company operates a global marketplace where sellers can list and sell their handmade, vintage, and craft supplies. Etsy also offers a variety of services to sellers, including marketing, shipping, and customer support.
Fundamental Analysis
Etsy's financial performance has been strong in recent quarters. In the most recent quarter, the company reported revenue of $279.8 million, up 4.1% year-over-year. Net income was $43.9 million, up 13.1% year-over-year. Etsy's gross profit margin was 65.1%, up from 64.2% in the prior-year quarter.
Etsy's balance sheet is also strong. The company has $1.1 billion in cash and equivalents and no long-term debt. Etsy's current ratio is 2.1, which is above the industry average.
Technical Analysis
Etsy's stock price has been trending higher in recent months. The stock is currently trading above its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is 55, which is in the neutral range.
Short Term Outlook
Etsy's stock price is expected to continue to trade higher in the short term. The company's strong financial performance and positive analyst sentiment are likely to support the stock price.
Long Term Outlook
Etsy is expected to continue to grow in the long term. The company's focus on handmade and vintage items is a differentiator in the e-commerce market. Etsy is also well-positioned to benefit from the growing popularity of online shopping.
Analyst Recommendations
The majority of analysts have a buy rating on Etsy's stock. The average analyst target price is $61.58, which represents a potential upside of 15.3% from the current price.
