Federated Hermes Inc. Trims Position in Etsy, Inc. (NASDAQ:ETSY)

Key Points

• Federated Hermes Inc. significantly reduced its stake in Etsy, Inc. by 97.1%, selling 99,297 shares during the first quarter, while retaining only 2,991 shares worth approximately $141,000.
• A variety of other institutional investors have adjusted their holdings, with True Wealth Design LLC increasing its stake by 112.7% in the fourth quarter and several firms making new investments totaling around $34,000 to $70,000.
• Etsy's quarterly earnings reflected a miss, reporting an EPS of $0.25 compared to expectations of $0.54, despite revenue exceeding estimates at $672.66 million, up 3.8% year-over-year.

Federated Hermes Inc. cut its holdings in Etsy, Inc. (NASDAQ:ETSY - Free Report) by 97.1% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 2,991 shares of the specialty retailer's stock after selling 99,297 shares during the quarter. Federated Hermes Inc.'s holdings in Etsy were worth $141,000 as of its most recent SEC filing.

A number of other hedge funds also recently added to or reduced their stakes in ETSY. True Wealth Design LLC raised its position in shares of Etsy by 112.7% in the 4th quarter. True Wealth Design LLC now owns 551 shares of the specialty retailer's stock valued at $29,000 after purchasing an additional 292 shares during the last quarter. Strategic Investment Solutions Inc. IL acquired a new position in Etsy in the 4th quarter worth approximately $34,000. Allworth Financial LP raised its position in Etsy by 47.6% during the 1st quarter. Allworth Financial LP now owns 769 shares of the specialty retailer's stock worth $35,000 after buying an additional 248 shares during the last quarter. Johnson Financial Group Inc. raised its position in Etsy by 862.1% during the 4th quarter. Johnson Financial Group Inc. now owns 1,270 shares of the specialty retailer's stock worth $70,000 after buying an additional 1,138 shares during the last quarter. Finally, Olde Wealth Management LLC purchased a new position in Etsy during the 1st quarter worth approximately $70,000. 99.53% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Etsy

In other news, CAO Merilee Buckley sold 5,817 shares of Etsy stock in a transaction on Monday, August 4th. The stock was sold at an average price of $58.83, for a total transaction of $342,214.11. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, insider Goyal Kruti Patel sold 11,944 shares of Etsy stock in a transaction on Thursday, August 7th. The stock was sold at an average price of $59.31, for a total value of $708,398.64. Following the transaction, the insider owned 47,529 shares in the company, valued at approximately $2,818,944.99. This represents a 20.08% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 364,168 shares of company stock worth $21,945,035 over the last 90 days. Corporate insiders own 2.80% of the company's stock.

Etsy Trading Down 2.0%

ETSY traded down $1.37 on Friday, hitting $66.84. 660,585 shares of the company's stock were exchanged, compared to its average volume of 4,829,337. Etsy, Inc. has a fifty-two week low of $40.05 and a fifty-two week high of $70.57. The firm has a 50-day moving average price of $58.05 and a 200-day moving average price of $52.02. The stock has a market cap of $6.62 billion, a price-to-earnings ratio of 53.94, a P/E/G ratio of 4.45 and a beta of 1.73.

Etsy (NASDAQ:ETSY - Get Free Report) last announced its earnings results on Wednesday, July 30th. The specialty retailer reported $0.25 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.54 by ($0.29). Etsy had a negative return on equity of 31.10% and a net margin of 5.78%. The business had revenue of $672.66 million for the quarter, compared to analyst estimates of $645.16 million. During the same period last year, the firm earned $0.41 EPS. The company's revenue for the quarter was up 3.8% compared to the same quarter last year. On average, equities analysts predict that Etsy, Inc. will post 2.57 EPS for the current year.

Analysts Set New Price Targets

A number of equities analysts have issued reports on the stock. Argus reissued a "hold" rating and set a $70.90 price target on shares of Etsy in a research report on Thursday. Evercore ISI reduced their price target on shares of Etsy from $60.00 to $54.00 and set an "outperform" rating for the company in a research report on Thursday, May 1st. Loop Capital reduced their price target on shares of Etsy from $40.00 to $37.00 and set a "sell" rating for the company in a research report on Thursday, May 1st. Arete raised shares of Etsy from a "sell" rating to a "neutral" rating and set a $54.00 price target for the company in a research report on Thursday, August 7th. Finally, Sanford C. Bernstein raised their price objective on shares of Etsy from $45.00 to $50.00 and gave the stock a "market perform" rating in a research note on Thursday, July 17th. Three research analysts have rated the stock with a sell rating, eighteen have assigned a hold rating and eight have given a buy rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $57.73.

Etsy Company Profile

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.