
Etsy (ETSY) Stock Forecast & Price Target
Etsy (ETSY) Analyst Ratings
Bulls say
Etsy operates a leading e-commerce marketplace with significant gross merchandise volume (GMS) of $12.5 billion forecasted for 2024, highlighting its substantial market presence, particularly in the niche of vintage and craft goods. The company's strategic initiatives have led to increased performance metrics, evidenced by a 21% year-over-year increase in GMS for the third quarter and a 22% increase for the fourth quarter, demonstrating strong sales momentum. With a focus on enhancing its service offerings and fostering operating leverage through its asset-light model, Etsy is well-positioned to expand its revenue and enhance profitability in the competitive e-commerce landscape.
Bears say
Etsy's outlook has deteriorated primarily due to a projected decrease in Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) estimates by approximately 10%, stemming from lower Gross Merchandise Sales (GMS) and anticipated pressure on profit margins as a result of increased investments in product development. The company has guided for a year-over-year decline in GMS for the first quarter that aligns with the previous quarter's performance, and faces challenges from weakened consumer discretionary spending along with a strategic focus on long-term initiatives over immediate growth opportunities. Additionally, the firm’s marketplace revenue has trailed consensus expectations, further exacerbated by lower order frequency and average order value, particularly during the critical holiday season.
This aggregate rating is based on analysts' research of Etsy and is not a guaranteed prediction by Public.com or investment advice.
Etsy (ETSY) Analyst Forecast & Price Prediction
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