Etsy (NYSE:ETSY) Given New $110.00 Price Target at Needham & Company LLC

Key Points

• Needham raised Etsy’s price target to $110 from $100 and maintained a “buy” rating, implying approximately 19% upside from the reported share price.
• Etsy reported strong quarterly results, with revenue up 10.9% year over year to $692.5 million and EPS substantially ahead of consensus estimates. Marketplace activity also improved, including 8.8% growth in gross merchandise sales and a return to positive buyer growth.
• Analyst sentiment is broadly favorable: Etsy has a “Moderate Buy” consensus rating and a $91.69 average price target, while shares were trading near their 12-month high after rising 5.4%.

Etsy (NYSE:ETSY - Get Free Report) had its target price boosted by equities researchers at Needham & Company LLC from $100.00 to $110.00 in a research report issued on Thursday, Marketbeat.com reports. The firm presently has a "buy" rating on the stock. Needham & Company LLC's price objective indicates a potential upside of 19.02% from the company's current price.

ETSY has been the subject of several other research reports. Raymond James Financial boosted their price objective on Etsy from $75.00 to $92.00 and gave the company an "outperform" rating in a research report on Tuesday, July 21st. Sanford C. Bernstein raised shares of Etsy from a "hold" rating to a "strong-buy" rating in a research note on Friday, September 11th. Seaport Research Partners raised shares of Etsy to a "buy" rating in a research report on Thursday, August 20th. Morgan Stanley raised shares of Etsy from an "underweight" rating to an "outperform" rating in a report on Thursday, August 20th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a "hold" rating and set a $100.00 price objective on shares of Etsy in a research note on Wednesday. Two equities research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, seventeen have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, Etsy currently has a consensus rating of "Moderate Buy" and a consensus price target of $91.69.

Etsy Trading Up 5.4%

Shares of NYSE:ETSY opened at $92.42 on Thursday. The stock has a market capitalization of $8.77 billion, a P/E ratio of 51.63, a price-to-earnings-growth ratio of 2.17 and a beta of 1.81. The stock's 50-day moving average price is $78.36 and its 200-day moving average price is $67.92. Etsy has a 12-month low of $44.00 and a 12-month high of $94.49.

Etsy (NYSE:ETSY - Get Free Report) last released its earnings results on Wednesday, October 28th. The company reported $7.31 earnings per share for the quarter, beating analysts' consensus estimates of $0.76 by $6.55. The company had revenue of $692.47 million during the quarter, compared to analyst estimates of $669.04 million. Etsy had a negative return on equity of 34.18% and a net margin of 7.32%. Etsy's revenue for the quarter was up 10.9% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.63 EPS. As a group, research analysts predict that Etsy will post 3.94 EPS for the current year.

Insiders Place Their Bets

In other Etsy news, CAO Merilee Buckley sold 5,076 shares of Etsy stock in a transaction that occurred on Thursday, October 15th. The stock was sold at an average price of $90.00, for a total transaction of $456,840.00. Following the sale, the chief accounting officer directly owned 5,076 shares of the company's stock, valued at approximately $456,840. The trade was a 50.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Josh Silverman sold 417 shares of the company's stock in a transaction that occurred on Thursday, October 15th. The stock was sold at an average price of $84.47, for a total value of $35,223.99. Following the transaction, the insider owned 262,617 shares in the company, valued at $22,183,257.99. This trade represents a 0.16% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 133,251 shares of company stock worth $10,966,499 over the last three months. Company insiders own 2.50% of the company's stock.

Institutional Investors Weigh In On Etsy

Hedge funds have recently made changes to their positions in the company. Renaissance Technologies LLC boosted its stake in Etsy by 11.1% during the 1st quarter. Renaissance Technologies LLC now owns 5,962,210 shares of the company's stock valued at $297,991,000 after purchasing an additional 594,768 shares during the last quarter. Arrowstreet Capital Limited Partnership raised its stake in shares of Etsy by 51.4% in the first quarter. Arrowstreet Capital Limited Partnership now owns 3,278,123 shares of the company's stock worth $163,841,000 after purchasing an additional 1,112,520 shares during the last quarter. Assenagon Asset Management S.A. lifted its holdings in shares of Etsy by 48.0% during the second quarter. Assenagon Asset Management S.A. now owns 1,613,333 shares of the company's stock valued at $121,532,000 after purchasing an additional 523,092 shares in the last quarter. William Blair Investment Management LLC bought a new position in shares of Etsy during the second quarter valued at $120,417,000. Finally, Dimensional Fund Advisors LP boosted its position in shares of Etsy by 6.8% during the first quarter. Dimensional Fund Advisors LP now owns 1,573,696 shares of the company's stock valued at $78,642,000 after buying an additional 100,542 shares during the last quarter. 99.53% of the stock is currently owned by institutional investors.

Key Etsy News

Here are the key news stories impacting Etsy this week:

• Positive Sentiment: Revenue and earnings beat estimates: Third-quarter revenue rose 10.9% year over year to approximately $692.5 million, surpassing the roughly $669 million consensus. Reported EPS also exceeded expectations, although figures varied by measure; adjusted EPS was reported near $1.00, while GAAP EPS benefited from unusually large items. Why are Etsy shares soaring today
• Positive Sentiment: Marketplace activity improved: Gross merchandise sales increased 8.8% to about $2.6 billion, active buyers grew 1% to 88 million, and buyer growth turned positive for the first time in two years. Etsy said AI-powered personalization and improvements to the shopping experience helped support engagement. Etsy key takeaways
• Positive Sentiment: Profitability remained a major focus: Adjusted EBITDA reached approximately $210 million, representing a 30.4% margin. Investors rewarded the combination of improving platform growth and sustained margin strength. BTIG Research also raised its price target from $90 to $102 and maintained a buy rating. Etsy Q3 margin report
• Neutral Sentiment: AI strategy remains a balancing act: Etsy is expanding AI personalization while tightening rules against mass-produced or misleading AI-generated merchandise, seeking to preserve its handmade brand identity. The approach could improve trust but may increase enforcement and seller-management costs. Etsy CEO addresses AI and creativity
• Negative Sentiment: CFO transition adds uncertainty: CFO Lanny Baker will leave Etsy on March 1, 2027, although he is expected to remain as an adviser through July. The departure introduces some execution risk following a quarter that otherwise strengthened the investment case. Etsy leadership transition

Etsy Company Profile

Etsy, Inc operates an online marketplace that connects independent sellers with consumers seeking unique and creative goods. Its marketplace features products such as handmade items, personalized gifts, vintage merchandise, home décor, jewelry, clothing, craft supplies and other goods made, designed, selected or sourced by individual sellers and small businesses.

The company provides tools and services that support marketplace activity, including seller storefronts, search and discovery features, payment processing, advertising, shipping assistance and customer support.

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