Located after profits – is etsy stock – is it a purchase or a bust? – Magic Post

Located after profits – is etsy stock – is it a purchase or a bust?

 – Magic Post

Etsy Inc. shares Nasdak: etsy It decreased by almost 7 % since the company reported its profits on February 19. Fears related to growth slowing revenues and profits that have risen on an annual basis and a link price (P/E) is about 8x.

etsy today

ETSY stock logo, Inc.
$ 53.13 -11 (-0.21 %)

As of 02/25/2025 04:00 pm

52 weeks
47.10 dollars

74.46 dollars

P/E ratio.
22.42

The target price
$ 58.78

However, this is just a continuation of a direction that has existed since November 2021. ETSY has decreased by more than 80 % of the stocks fed by the stock about $ 295 per share.

While ETSY shareholders may cry in their assembly with MEME stocks such as Gamestop Corp. NYSE: GME And AMC Entertainment Holdings Inc. New York: AMCThe truth remains that, like GME and AMC, investors pushed ETSY shares to an unsustainable level. And if you bought at the top, it is possible that you have already been sold in a great loss.

But with shares trading at levels that have not been seen since 2019, some investors are wondering whether it is now a strong long -term purchase. Unfortunately, stocks may be at a fair price.

Growth slows down, and the economy may not be merely

With a quarterly annual revenue of $ 850 million, ETSY became more than just a specialized site for amateur. However, investors are concerned about the slowdown in revenue growth. In the past 12 months, ETSY revenue growth has increased by only 2.18 %, which is much lower than the 27.9 % CAGR growth rate.

If you are an investor or consider participating in ETSY shares, you can explain it away by referring to the wider economy. ETSY is a dual -direction site that derives a healthy amount of its revenues from the insertion fees paid by the sellers for the inclusion of their goods and the 5 % fees that it collects from each sale.

In 2020 and 2021, these revenues increased as many investors decided to try their hands to turn their hobbies into a secondary or basic income. To clarify this point, active sellers jumped on ETsy about 75 % between 2020 and 2021 to 7.5 million. However, in January 2025, this number remained the same 8.5 % decrease From the previous year.

Until now you have the same number of net sellers, but the growth of quarterly revenues at its lowest levels since it has become public in 2014. In the company’s last profit offer, GMS sales (GMS) decreased by 4.4 %. GMS measures the size of the dollar for transactions that occur on the platform, which are more important than revenue, which increased by 2.2 % on an annual basis.

Again, if this is a one -year phenomenon, you can explain it away. But this is now four consecutive years of GMS drop. This fact, along with a flat number to less than sellers indicates that the value proposal for the platform may decrease.

ETSY may be a better trade than investment

ETSY stock expectations today

The stock price expectations for 12 months:
$ 58.78
Hold
Based on 26 analyst classifications
High expectations $ 83.00
Average expectations $ 58.78
Low expectations $ 40.00

ETSY stock forecast details

While retail shares are under pressure, investors are right to worry about whether ETSY shares are a strong long -term investment. The ETSY bull issue is a small player who has a huge growth opportunity in the e -commerce space that still has years of strong growth. However, trends indicate that ETSY is having difficulty separating from the perception that it is just a specialized site.

Of course, things can change. Investors will not get more information until ETSY informs the profits again in May. Until then, ETSY shares seem more interesting as a short -term investment. The stock price is unified, and the transition can be maintained on February 24 if the volume belongs to the average.

The ETSY analyst on Marketbeat gives the share a classification with a goal with a price of $ 58.78, which is 9.8 % higher than the closing price on February 24. ,, Which gives ETSY Stock the goal of 70 and 67 dollars, respectively.

Etsy Stock may be worth holding on if you are looking for a long -term arrow. But with many other convincing options in the retail/e -commerce space, it is difficult to look at ETSY more than just a comment.

Before you think about ETSY, you will want to hear this.

Marketbeat follows the best research analyst at Wall Street, the best performance in Wall Street and the stocks they recommend to their customers on a daily basis. Marketbeat has selected the five shares whom the top analysts quietly whispered to their customers to buy now before hunting the broader market … ETsy was not in the list.

While ETSY currently has a “Hold” classification among analysts, higher -rated analysts believe that these five stocks buy better.

Show the five stocks here

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