Cantor Fitzgerald Issues Negative Outlook for Etsy Earnings

Key Points

• Cantor Fitzgerald has lowered its FY2026 earnings per share estimate for Etsy from $2.88 to $2.63, maintaining a "Neutral" rating with a price target of $64.00.
• Etsy's recent quarterly earnings missed analysts' expectations, reporting $0.25 EPS compared to the consensus estimate of $0.54, despite a revenue increase to $672.66 million.
• The stock currently has a consensus rating of "Hold" with 16 analysts rating it as such, along with five sell ratings and eight buy ratings.

Etsy, Inc. (NASDAQ:ETSY - Free Report) - Equities researchers at Cantor Fitzgerald cut their FY2026 earnings estimates for Etsy in a research note issued to investors on Thursday, July 31st. Cantor Fitzgerald analyst D. Mathivanan now expects that the specialty retailer will earn $2.63 per share for the year, down from their previous estimate of $2.88. Cantor Fitzgerald currently has a "Neutral" rating and a $64.00 price target on the stock. The consensus estimate for Etsy's current full-year earnings is $2.57 per share.

Etsy (NASDAQ:ETSY - Get Free Report) last posted its quarterly earnings data on Wednesday, July 30th. The specialty retailer reported $0.25 earnings per share for the quarter, missing the consensus estimate of $0.54 by ($0.29). The company had revenue of $672.66 million during the quarter, compared to the consensus estimate of $645.16 million. Etsy had a negative return on equity of 31.10% and a net margin of 5.78%. The firm's revenue for the quarter was up 3.8% on a year-over-year basis. During the same quarter last year, the company posted $0.41 earnings per share.

A number of other research analysts have also recently commented on ETSY. Truist Financial increased their price target on shares of Etsy from $55.00 to $60.00 and gave the company a "buy" rating in a research report on Tuesday, June 17th. Guggenheim increased their price target on shares of Etsy from $50.00 to $70.00 and gave the company a "buy" rating in a research report on Thursday. Stifel Nicolaus increased their price target on shares of Etsy from $45.00 to $66.00 and gave the company a "hold" rating in a research report on Tuesday. JPMorgan Chase & Co. increased their price target on shares of Etsy from $50.00 to $53.00 and gave the company a "neutral" rating in a research report on Tuesday, July 22nd. Finally, Deutsche Bank Aktiengesellschaft increased their price target on shares of Etsy from $40.00 to $47.00 and gave the company a "hold" rating in a research report on Tuesday, July 22nd. Five investment analysts have rated the stock with a sell rating, fifteen have assigned a hold rating and eight have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $56.76.

Etsy Stock Up 0.9%

Shares of ETSY stock traded up $0.50 during trading on Friday, hitting $58.77. The company had a trading volume of 4,639,839 shares, compared to its average volume of 5,269,765. The stock's 50-day moving average is $56.91 and its two-hundred day moving average is $51.44. The stock has a market capitalization of $5.82 billion, a price-to-earnings ratio of 47.40, a price-to-earnings-growth ratio of 3.18 and a beta of 1.73. Etsy has a 52 week low of $40.05 and a 52 week high of $68.45.

Institutional Investors Weigh In On Etsy

Large investors have recently bought and sold shares of the business. Renaissance Technologies LLC grew its stake in shares of Etsy by 4.5% during the 4th quarter. Renaissance Technologies LLC now owns 5,421,641 shares of the specialty retailer's stock valued at $286,751,000 after purchasing an additional 235,550 shares during the period. AQR Capital Management LLC grew its stake in shares of Etsy by 423.7% during the 1st quarter. AQR Capital Management LLC now owns 4,658,225 shares of the specialty retailer's stock valued at $218,890,000 after purchasing an additional 3,768,787 shares during the period. Acadian Asset Management LLC grew its stake in shares of Etsy by 112.8% during the 1st quarter. Acadian Asset Management LLC now owns 2,803,956 shares of the specialty retailer's stock valued at $132,273,000 after purchasing an additional 1,486,142 shares during the period. Assenagon Asset Management S.A. grew its stake in shares of Etsy by 36.0% during the 1st quarter. Assenagon Asset Management S.A. now owns 2,026,263 shares of the specialty retailer's stock valued at $95,599,000 after purchasing an additional 535,864 shares during the period. Finally, Norges Bank bought a new stake in shares of Etsy during the 4th quarter valued at about $74,235,000. 99.53% of the stock is currently owned by institutional investors.

Insiders Place Their Bets

In related news, insider Nicholas Daniel sold 1,500 shares of Etsy stock in a transaction dated Tuesday, July 1st. The stock was sold at an average price of $51.36, for a total value of $77,040.00. Following the completion of the sale, the insider directly owned 34,683 shares in the company, valued at approximately $1,781,318.88. This trade represents a 4.15% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Melissa Reiff sold 6,909 shares of Etsy stock in a transaction dated Friday, August 1st. The stock was sold at an average price of $58.89, for a total value of $406,871.01. Following the completion of the sale, the director owned 16,424 shares of the company's stock, valued at $967,209.36. The trade was a 29.61% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 326,041 shares of company stock valued at $19,664,717 over the last quarter. Corporate insiders own 2.80% 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.