Etsy (NYSE:ETSY) Hits New 1-Year High After Earnings Beat

Etsy Inc (NYSE:ETSY) shares hit a new 52-week high during trading on Wednesday following a stronger than expected earnings report. The company traded as high as $94.49 and last traded at $92.3220, with a volume of 3,385,681 shares. The stock had previously closed at $87.66.

The company reported $7.31 earnings per share for the quarter, beating analysts’ consensus estimates of $0.76 by $6.55. The company had revenue of $692.47 million for the quarter, compared to analyst estimates of $668.06 million. Etsy had a negative return on equity of 34.18% and a net margin of 7.32%. The company’s revenue for the quarter was up 10.9% on a year-over-year basis. During the same quarter last year, the company earned $0.63 earnings per share.

Etsy News Summary

Here are the key news stories impacting Etsy this week:

• Positive Sentiment: Q3 results exceeded expectations. Etsy reported revenue of approximately $692.5 million, up 10.9% year over year and above the roughly $668 million consensus estimate. Reported EPS also surpassed forecasts, although results included a significant net-income benefit; adjusted EPS was reported at $1.55 versus the $1.34 Zacks consensus. Etsy Third Quarter 2026 Results
• Positive Sentiment: Marketplace engagement improved. Reports highlighted growth in active buyers and higher sales, supporting the view that Etsy’s marketplace is regaining momentum. Key areas investors are watching include gross merchandise sales growth, advertising monetization and AI-enabled engagement. Etsy Sales Rise as Active Buyers Increase
• Positive Sentiment: AI-related marketplace controls may support trust. Etsy is tightening policies around AI-generated content and requiring greater transparency, including unedited product photos in some cases. The measures could help protect Etsy’s differentiated, handmade-focused brand and buyer experience. Etsy AI Policy Expectations
• Neutral Sentiment: CFO transition announced. CFO Lanny Baker plans to leave Etsy on March 1, 2027, and remain as an advisor through July 1, 2027. The planned handoff limits immediate disruption, but investors will monitor the search for a successor. Etsy Leadership Transition
• Negative Sentiment: Profit quality and execution remain risks. Analysts had flagged restructuring charges ahead of the release, while the large gap between reported EPS and adjusted EPS means investors may focus more heavily on underlying operating performance. Etsy also faces ongoing scrutiny over AI-generated listings and product-safety issues affecting marketplace sellers.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on ETSY shares. Wells Fargo & Company raised their price target on shares of Etsy from $61.00 to $76.00 and gave the company an “underweight” rating in a research report on Friday, August 7th. UBS Group increased their price objective on shares of Etsy from $74.00 to $86.00 and gave the company a “neutral” rating in a research note on Friday, August 7th. Canaccord Genuity Group set a $92.00 target price on shares of Etsy in a research report on Thursday, August 6th. Piper Sandler boosted their target price on Etsy from $70.00 to $80.00 and gave the stock a “neutral” rating in a research note on Friday, August 7th. Finally, Sanford C. Bernstein raised Etsy from a “hold” rating to a “strong-buy” rating in a report on Friday, September 11th. Two investment analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, eighteen have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $86.21.

Insider Buying and Selling

In related news, CAO Merilee Buckley sold 5,076 shares of Etsy stock in a transaction on Thursday, October 15th. The stock was sold at an average price of $90.00, for a total transaction of $456,840.00. Following the completion of the sale, the chief accounting officer owned 5,076 shares of the company’s stock, valued at approximately $456,840. This trade represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Richard Colburn, III sold 4,472 shares of Etsy stock in a transaction dated Monday, October 5th. The shares were sold at an average price of $71.31, for a total value of $318,898.32. Following the sale, the insider owned 6,503 shares of the company’s stock, valued at approximately $463,728.93. This trade represents a 40.75% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 133,251 shares of company stock valued at $10,966,499. 2.50% of the stock is owned by insiders.

Hedge Funds Weigh In On Etsy

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Blue Trust Inc. lifted its holdings in shares of Etsy by 19.3% in the 1st quarter. Blue Trust Inc. now owns 1,238 shares of the company’s stock worth $62,000 after acquiring an additional 200 shares during the last quarter. Lmcg Investments LLC grew its stake in shares of Etsy by 0.3% during the first quarter. Lmcg Investments LLC now owns 71,569 shares of the company’s stock valued at $3,577,000 after buying an additional 249 shares during the last quarter. NorthCrest Asset Manangement LLC grew its stake in shares of Etsy by 9.3% during the third quarter. NorthCrest Asset Manangement LLC now owns 3,166 shares of the company’s stock valued at $238,000 after buying an additional 269 shares during the last quarter. Signaturefd LLC grew its position in Etsy by 61.8% during the 3rd quarter. Signaturefd LLC now owns 762 shares of the company’s stock worth $54,000 after acquiring an additional 291 shares during the last quarter. Finally, Modera Wealth Management LLC increased its stake in Etsy by 1.3% in the 1st quarter. Modera Wealth Management LLC now owns 23,889 shares of the company’s stock worth $1,194,000 after purchasing an additional 302 shares during the period. 99.53% of the stock is currently owned by hedge funds and other institutional investors.

Etsy Trading Up 5.4%

The firm has a market capitalization of $8.77 billion, a PE ratio of 51.61, a PEG ratio of 2.17 and a beta of 1.86. The stock has a 50 day simple moving average of $78.11 and a 200 day simple moving average of $67.76.

Etsy Company Profile

Etsy, Inc operates an online marketplace that connects independent sellers with consumers seeking unique and creative goods. Its marketplace features products such as handmade items, personalized gifts, vintage merchandise, home décor, jewelry, clothing, craft supplies and other goods made, designed, selected or sourced by individual sellers and small businesses.

The company provides tools and services that support marketplace activity, including seller storefronts, search and discovery features, payment processing, advertising, shipping assistance and customer support.