Etsy (NYSE:ETSY) Lowered to Hold Rating by Zacks Research

Key Points

• Zacks Research downgraded Etsy (ETSY) from a strong-buy to a hold, and the analyst consensus on MarketBeat is a Hold with an average price target of $62.00.
• Etsy beat quarterly EPS estimates ($0.92 vs. $0.88) on $881.6M of revenue, but trades at a high PE (~49.7) with a modest net margin of 5.65%.
• Insiders have sold 98,636 shares worth about $5.7M in the past 90 days (insiders now own 2.8% of the company), including recent sales by Director Charles Ballard and CEO Josh Silverman.

Etsy (NYSE:ETSY - Get Free Report) was downgraded by equities researchers at Zacks Research from a "strong-buy" rating to a "hold" rating in a research report issued to clients and investors on Monday,Zacks.com reports.

Other equities research analysts have also recently issued reports about the company. Truist Financial lifted their price objective on Etsy from $80.00 to $83.00 and gave the stock a "buy" rating in a report on Friday, February 20th. Stifel Nicolaus lowered their target price on Etsy from $62.00 to $55.00 and set a "hold" rating on the stock in a report on Friday, February 20th. Wells Fargo & Company lowered their target price on Etsy from $52.00 to $47.00 and set an "underweight" rating on the stock in a report on Friday, February 20th. Jefferies Financial Group lowered their target price on Etsy from $62.00 to $55.00 and set a "hold" rating on the stock in a report on Thursday, February 12th. Finally, Morgan Stanley lowered their target price on Etsy from $65.00 to $60.00 and set an "equal weight" rating on the stock in a report on Friday, February 20th. One investment analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, eighteen have assigned a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat, Etsy presently has a consensus rating of "Hold" and an average price target of $62.00.

Etsy Trading Up 1.5%

ETSY stock opened at $65.13 on Monday. Etsy has a 12-month low of $41.51 and a 12-month high of $76.51. The firm has a market cap of $6.27 billion, a PE ratio of 49.72, a price-to-earnings-growth ratio of 4.61 and a beta of 1.77. The business has a 50-day moving average price of $52.83.

Etsy (NYSE:ETSY - Get Free Report) last posted its quarterly earnings data on Thursday, February 19th. The company reported $0.92 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.88 by $0.04. Etsy had a negative return on equity of 24.94% and a net margin of 5.65%.The company had revenue of $881.64 million for the quarter. As a group, equities research analysts anticipate that Etsy will post 3.62 earnings per share for the current fiscal year.

Insider Transactions at Etsy

In other news, Director Charles Andrew Ballard sold 1,790 shares of the business's stock in a transaction that occurred on Wednesday, March 4th. The stock was sold at an average price of $55.74, for a total transaction of $99,774.60. Following the transaction, the director directly owned 4,006 shares in the company, valued at $223,294.44. The trade was a 30.88% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Josh Silverman sold 30,369 shares of the company's stock in a transaction that occurred on Monday, April 20th. The shares were sold at an average price of $64.00, for a total value of $1,943,616.00. Following the completion of the transaction, the insider owned 130,694 shares in the company, valued at $8,364,416. This represents a 18.86% decrease in their ownership of the stock. 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 have sold a total of 98,636 shares of company stock worth $5,703,703 in the last ninety days. Insiders own 2.80% of the company's stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. EFG International AG acquired a new position in Etsy in the fourth quarter valued at approximately $33,000. Salomon & Ludwin LLC acquired a new position in Etsy in the third quarter valued at approximately $55,000. SJS Investment Consulting Inc. lifted its holdings in Etsy by 12,600.0% in the third quarter. SJS Investment Consulting Inc. now owns 762 shares of the company's stock valued at $51,000 after acquiring an additional 756 shares during the last quarter. Abich Financial Wealth Management LLC acquired a new position in Etsy in the third quarter valued at approximately $51,000. Finally, Danske Bank A S acquired a new position in Etsy in the third quarter valued at approximately $66,000. 99.53% of the stock is currently owned by institutional investors and hedge funds.

About Etsy

Etsy, Inc operates two-sided online marketplaces that connect buyers and sellers primarily in the United States, the United Kingdom, Germany, Canada, Australia, France, and India. 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. In addition, it offers various seller services, including Etsy Payments, a payment processing service; Etsy Ads, an advertising platform; and Shipping Labels, which allows sellers in the United States, Canada, the United Kingdom, Australia, and India to purchase discounted shipping labels.

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