On Monday, shares of online craft marketplace Etsy Inc. (ETSY - Free Report) are surging, up over 16% in afternoon trading after Citigroup (C - Free Report) gave the stock a ‘Buy’ rating and a price target of $14 earlier today.
Analyst Mark Kelley initiated coverage, writing that “Consensus revenue estimates are far too conservative, particularly on the Seller Services business (we’re 4% and 7% above the Street here in 2017/2018).”
Citigroup believes that Etsy's Seller Services division will provide growth for the company; this business chargers sellers extra fees for services like product promotion or expedited check-out.
Kelley also sees Etsy having total revenue of $365 million, higher than the current consensus of $353 million. For its Seller Services business, Kelley projects revenues of $204 million, above the current consensus of $196.8 million.
"The core Etsy offering, simply listing an item for sale, is what attracts a seller to the platform, but Etsy's Seller Services offerings are additive and in some cases higher margin services which sellers can utilize in order to either make the handling of orders more efficient or that allow for effectively maintaining an online presence," Citigroup continued.
Etsy is set to report its Q2 fiscal 2016 results on Tuesday, August 2. For EPS and revenue, Zacks estimates EPS of a loss of three cents on revenues of $83 million.
Etsy currently has a #3 (Hold) on the Zacks Rank.
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Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
On Monday, shares of online craft marketplace Etsy Inc. (ETSY - Free Report) are surging, up over 16% in afternoon trading after Citigroup (C - Free Report) gave the stock a ‘Buy’ rating and a price target of $14 earlier today.
Analyst Mark Kelley initiated coverage, writing that “Consensus revenue estimates are far too conservative, particularly on the Seller Services business (we’re 4% and 7% above the Street here in 2017/2018).”
Citigroup believes that Etsy's Seller Services division will provide growth for the company; this business chargers sellers extra fees for services like product promotion or expedited check-out.
Kelley also sees Etsy having total revenue of $365 million, higher than the current consensus of $353 million. For its Seller Services business, Kelley projects revenues of $204 million, above the current consensus of $196.8 million.
"The core Etsy offering, simply listing an item for sale, is what attracts a seller to the platform, but Etsy's Seller Services offerings are additive and in some cases higher margin services which sellers can utilize in order to either make the handling of orders more efficient or that allow for effectively maintaining an online presence," Citigroup continued.
Etsy is set to report its Q2 fiscal 2016 results on Tuesday, August 2. For EPS and revenue, Zacks estimates EPS of a loss of three cents on revenues of $83 million.
Etsy currently has a #3 (Hold) on the Zacks Rank.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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