Etsy Inc Stock Forecast:
Etsy Inc‘s stock is expected to have an average target price of USD 116.51 over the next 12 months according to 29 analysts, who have given the stock an average rating of Buy. Stock Target Advisor‘s analysis of the stock is Slightly Bullish, based on 8 positive signals and 6 negative signals. As of the last closing, the stock price was USD 108.25, which is a +3.21% change over the past week, a -10.85% change over the past month, and a -14.80% change over the last year.
Analysts Coverage Change:
Piper Jaffray Co. Upgrades Etsy Inc. with an “Overweight” rating and raises the price target to $140 from $135.
Positive Fundamentals:
The company in question has a high market capitalization and is among the largest in its sector, making it more stable. It has also demonstrated superior risk-adjusted returns, capital utilization, and return on assets, placing it in the top quartile compared to its peers. The company has positive cash flow and free cash flow in the most recent four quarters. Additionally, it has shown top quartile revenue growth in the past five years and is in the top quartile compared to its peers on Gross Profit to Asset Ratio, indicating potential for superior long-term returns.
Negative Fundamentals:
The company’s total returns are highly volatile and above the sector median in the past 5 years, indicating a need for high risk tolerance when investing. The stock is trading at a high price compared to peers on several different bases, including price to earnings, book value, cash flow, and free cash flow, which should be approached with caution. Additionally, the company has demonstrated below median earnings growth in the previous 5 years compared to its sector.
FA Score (Fundamental Analysis):
The fundamental analysis of Etsy Inc is “Slightly Bullish” with a FA score of 5.7 out of 10, where 0 is very bearish and 10 is very bullish.
About Esty:
Etsy is an online marketplace that operates in the United States, the United Kingdom, Germany, Canada, Australia, France, and India. It connects buyers and sellers through its primary website, Etsy.com, as well as other marketplaces like Reverb, Depop, and Elo7. The company offers various seller services and tools, including payment processing, advertising, and shipping labels. It also provides educational resources and a platform for sellers to connect with each other. As of December 31, 2022, the company had 7.5 million active sellers and 95.1 million active buyers. Etsy, Inc. was founded in 2005 and is headquartered in Brooklyn, New York.
