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Etsy (ETSY) Outpaces Stock Market Gains: What You Should Know
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Etsy (ETSY - Free Report) closed at $55 in the latest trading session, marking a +1.21% move from the prior day. This move outpaced the S&P 500's daily gain of 0.85%. Meanwhile, the Dow gained 0.75%, and the Nasdaq, a tech-heavy index, added 1.29%.
Prior to today's trading, shares of the online crafts marketplace had gained 14.76% over the past month. This has outpaced the Computer and Technology sector's gain of 11.25% and the S&P 500's gain of 12.44% in that time.
ETSY will be looking to display strength as it nears its next earnings release, which is expected to be February 26, 2019. On that day, ETSY is projected to report earnings of $0.33 per share, which would represent year-over-year growth of 120%. Meanwhile, our latest consensus estimate is calling for revenue of $194.36 million, up 42.63% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for ETSY. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ETSY currently has a Zacks Rank of #2 (Buy).
Digging into valuation, ETSY currently has a Forward P/E ratio of 50.9. For comparison, its industry has an average Forward P/E of 28.45, which means ETSY is trading at a premium to the group.
It is also worth noting that ETSY currently has a PEG ratio of 3.39. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Services was holding an average PEG ratio of 2.52 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 89, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Etsy (ETSY) Outpaces Stock Market Gains: What You Should Know
Etsy (ETSY - Free Report) closed at $55 in the latest trading session, marking a +1.21% move from the prior day. This move outpaced the S&P 500's daily gain of 0.85%. Meanwhile, the Dow gained 0.75%, and the Nasdaq, a tech-heavy index, added 1.29%.
Prior to today's trading, shares of the online crafts marketplace had gained 14.76% over the past month. This has outpaced the Computer and Technology sector's gain of 11.25% and the S&P 500's gain of 12.44% in that time.
ETSY will be looking to display strength as it nears its next earnings release, which is expected to be February 26, 2019. On that day, ETSY is projected to report earnings of $0.33 per share, which would represent year-over-year growth of 120%. Meanwhile, our latest consensus estimate is calling for revenue of $194.36 million, up 42.63% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for ETSY. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ETSY currently has a Zacks Rank of #2 (Buy).
Digging into valuation, ETSY currently has a Forward P/E ratio of 50.9. For comparison, its industry has an average Forward P/E of 28.45, which means ETSY is trading at a premium to the group.
It is also worth noting that ETSY currently has a PEG ratio of 3.39. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Services was holding an average PEG ratio of 2.52 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 89, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.