Etsy (NASDAQ:ETSY) Shares Gap Down - Time to Sell?

Etsy, Inc. (NASDAQ:ETSY - Get Free Report) gapped down prior to trading on Wednesday . The stock had previously closed at $61.83, but opened at $59.89. Etsy shares last traded at $61.27, with a volume of 1,080,199 shares traded.

Wall Street Analyst Weigh In

Several analysts have issued reports on the stock. JPMorgan Chase & Co. raised their price target on shares of Etsy from $42.00 to $50.00 and gave the stock a "neutral" rating in a research report on Wednesday, June 4th. Citigroup decreased their price target on shares of Etsy from $53.00 to $48.00 and set a "neutral" rating on the stock in a research report on Friday, April 25th. The Goldman Sachs Group decreased their price target on shares of Etsy from $35.00 to $31.00 and set a "sell" rating on the stock in a research report on Thursday, May 1st. Piper Sandler reduced their price objective on shares of Etsy from $52.00 to $40.00 and set a "neutral" rating for the company in a report on Friday, April 11th. Finally, Barclays reduced their price objective on shares of Etsy from $55.00 to $53.00 and set an "equal weight" rating for the company in a report on Wednesday, April 30th. Six research analysts have rated the stock with a sell rating, fifteen have assigned a hold rating and six have issued a buy rating to the stock. According to MarketBeat, Etsy currently has an average rating of "Hold" and an average price target of $50.17.

Etsy Trading Down 5.6%

The stock has a market capitalization of $5.84 billion, a P/E ratio of 23.62, a P/E/G ratio of 2.57 and a beta of 1.80. The firm's fifty day moving average is $49.04 and its 200-day moving average is $51.24.

Etsy (NASDAQ:ETSY - Get Free Report) last posted its quarterly earnings data on Wednesday, April 30th. The specialty retailer reported $0.46 earnings per share for the quarter, missing the consensus estimate of $0.50 by ($0.04). Etsy had a net margin of 10.80% and a negative return on equity of 46.62%. The company had revenue of $651.18 million during the quarter, compared to analyst estimates of $642.22 million. During the same quarter in the previous year, the business posted $0.48 EPS. The company's revenue was up .8% compared to the same quarter last year. Equities research analysts expect that Etsy, Inc. will post 2.57 EPS for the current year.

Insider Transactions at Etsy

In related news, CAO Merilee Buckley sold 1,676 shares of the business's stock in a transaction that occurred on Thursday, April 3rd. The shares were sold at an average price of $48.40, for a total transaction of $81,118.40. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Josh Silverman sold 21,666 shares of the business's stock in a transaction that occurred on Tuesday, April 1st. The shares were sold at an average price of $48.23, for a total transaction of $1,044,951.18. Following the transaction, the chief executive officer now owns 31,818 shares of the company's stock, valued at approximately $1,534,582.14. This represents a 40.51% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 205,418 shares of company stock worth $11,234,192 in the last quarter. 2.80% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. Lindbrook Capital LLC grew its holdings in Etsy by 55.7% during the fourth quarter. Lindbrook Capital LLC now owns 506 shares of the specialty retailer's stock valued at $27,000 after purchasing an additional 181 shares during the period. Larson Financial Group LLC lifted its stake in Etsy by 8.7% in the fourth quarter. Larson Financial Group LLC now owns 2,728 shares of the specialty retailer's stock valued at $144,000 after buying an additional 218 shares in the last quarter. Allworth Financial LP lifted its stake in Etsy by 47.6% in the first quarter. Allworth Financial LP now owns 769 shares of the specialty retailer's stock valued at $35,000 after buying an additional 248 shares in the last quarter. Heron Bay Capital Management lifted its stake in Etsy by 1.3% in the fourth quarter. Heron Bay Capital Management now owns 20,260 shares of the specialty retailer's stock valued at $1,072,000 after buying an additional 258 shares in the last quarter. Finally, Denver PWM LLC lifted its stake in Etsy by 36.1% in the fourth quarter. Denver PWM LLC now owns 1,090 shares of the specialty retailer's stock valued at $58,000 after buying an additional 289 shares in the last quarter. Institutional investors and hedge funds own 99.53% 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.