We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Etsy (ETSY) Outpaces Stock Market Gains: What You Should Know
Read MoreHide Full Article
In the latest trading session, Etsy (ETSY - Free Report) closed at $108.30, marking a +0.88% move from the previous day. This change outpaced the S&P 500's 0.66% gain on the day. At the same time, the Dow added 0.61%, and the tech-heavy Nasdaq lost 0.02%.
Coming into today, shares of the online crafts marketplace had lost 8.16% in the past month. In that same time, the Computer and Technology sector lost 8.24%, while the S&P 500 lost 3.79%.
Investors will be hoping for strength from Etsy as it approaches its next earnings release. On that day, Etsy is projected to report earnings of $0.38 per share, which would represent a year-over-year decline of 38.71%. Meanwhile, our latest consensus estimate is calling for revenue of $561.15 million, up 5.39% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.18 per share and revenue of $2.47 billion. These totals would mark changes of -35.88% and +6.18%, respectively, from last year.
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 such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate has moved 0.46% lower within the past month. Etsy currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Etsy has a Forward P/E ratio of 49.2 right now. This represents a premium compared to its industry's average Forward P/E of 20.96.
Also, we should mention that ETSY has a PEG ratio of 4.99. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ETSY's industry had an average PEG ratio of 1.79 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Etsy (ETSY) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Etsy (ETSY - Free Report) closed at $108.30, marking a +0.88% move from the previous day. This change outpaced the S&P 500's 0.66% gain on the day. At the same time, the Dow added 0.61%, and the tech-heavy Nasdaq lost 0.02%.
Coming into today, shares of the online crafts marketplace had lost 8.16% in the past month. In that same time, the Computer and Technology sector lost 8.24%, while the S&P 500 lost 3.79%.
Investors will be hoping for strength from Etsy as it approaches its next earnings release. On that day, Etsy is projected to report earnings of $0.38 per share, which would represent a year-over-year decline of 38.71%. Meanwhile, our latest consensus estimate is calling for revenue of $561.15 million, up 5.39% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.18 per share and revenue of $2.47 billion. These totals would mark changes of -35.88% and +6.18%, respectively, from last year.
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 such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate has moved 0.46% lower within the past month. Etsy currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Etsy has a Forward P/E ratio of 49.2 right now. This represents a premium compared to its industry's average Forward P/E of 20.96.
Also, we should mention that ETSY has a PEG ratio of 4.99. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ETSY's industry had an average PEG ratio of 1.79 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.