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Etsy (ETSY) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Etsy (ETSY - Free Report) closed at $94.63, marking a -1.62% move from the previous day. This change lagged the S&P 500's daily loss of 0.53%.
Prior to today's trading, shares of the online crafts marketplace had gained 9.27% over the past month. This has outpaced the Computer and Technology sector's gain of 7.86% and the S&P 500's gain of 4.86% in that time.
Etsy will be looking to display strength as it nears its next earnings release. On that day, Etsy is projected to report earnings of $0.41 per share, which would represent a year-over-year decline of 19.61%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $620.98 million, up 6.12% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.35 per share and revenue of $2.76 billion. These totals would mark changes of -13.6% and +7.7%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Etsy. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Etsy is currently a Zacks Rank #3 (Hold).
Digging into valuation, Etsy currently has a Forward P/E ratio of 40.93. For comparison, its industry has an average Forward P/E of 24.83, which means Etsy is trading at a premium to the group.
We can also see that ETSY currently has a PEG ratio of 5.8. 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. The Internet - Services was holding an average PEG ratio of 1.57 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 56, putting it in the top 23% 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.
To follow ETSY in the coming trading sessions, be sure to utilize Zacks.com.
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Etsy (ETSY) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Etsy (ETSY - Free Report) closed at $94.63, marking a -1.62% move from the previous day. This change lagged the S&P 500's daily loss of 0.53%.
Prior to today's trading, shares of the online crafts marketplace had gained 9.27% over the past month. This has outpaced the Computer and Technology sector's gain of 7.86% and the S&P 500's gain of 4.86% in that time.
Etsy will be looking to display strength as it nears its next earnings release. On that day, Etsy is projected to report earnings of $0.41 per share, which would represent a year-over-year decline of 19.61%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $620.98 million, up 6.12% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.35 per share and revenue of $2.76 billion. These totals would mark changes of -13.6% and +7.7%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Etsy. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Etsy is currently a Zacks Rank #3 (Hold).
Digging into valuation, Etsy currently has a Forward P/E ratio of 40.93. For comparison, its industry has an average Forward P/E of 24.83, which means Etsy is trading at a premium to the group.
We can also see that ETSY currently has a PEG ratio of 5.8. 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. The Internet - Services was holding an average PEG ratio of 1.57 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 56, putting it in the top 23% 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.
To follow ETSY in the coming trading sessions, be sure to utilize Zacks.com.