Etsy, Inc., together with its subsidiaries, operates two-sided online marketplaces that connect buyers and sellers worldwide. The company operates through three segments: Etsy, Reverb, and Depop. It primarily operates Etsy marketplace that connects artisans and entrepreneurs with various consumers. The company also offers Reverb, a musical instrument marketplace; and Depop, a fashion resale marketplace. In addition, it provides marketplace activities, including transaction offsite advertising, payments processing, and listing fees, as well as from optional seller services, which include on-site advertising and shipping labels. Further, the company offers Etsy Search Visibility Page that is designed to give sellers more agency and control over their businesses; Etsy Purchase Protection program that is designed to help buyers; and Etsy Share & Save program for sellers to save on Etsy fees for sales that drive to their Etsy shop from their own channels, as well as educational resources. The company was formerly known as Indieco, Inc changed its name to Etsy, Inc. in June 2006. Etsy, Inc. was founded in 2005 and is headquartered in Brooklyn, New York.
Strategic Pivot | Etsy's shift towards long-term initiatives aims to drive sustainable growth, focusing on app improvements, AI integration, and marketing strategy refinement |
Market Challenges | Explore Etsy's response to declining GMS and decreasing active users amid fierce competition and macroeconomic headwinds in the e-commerce landscape |
Financial Outlook | Analysts project modest growth with FY2025 revenue estimates between $2,872M-$2,895M. Average price target ranges from $43 to $65, reflecting mixed market sentiment |
Growth Catalysts | Delve into Etsy's potential $1B GMS opportunity through app optimization, AI-driven personalization, and expansion in the resilient gifting segment |
Metrics to compare | ETSY | Sector Sector - Average of metrics from a broad group of related Consumer Cyclicals sector companies | Relationship RelationshipETSYPeersSector | |
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P/E Ratio | 43.2x | 1.9x | 11.1x | |
PEG Ratio | −1.28 | −0.03 | 0.02 | |
Price/Book | −6.3x | 2.4x | 1.4x | |
Price / LTM Sales | 2.5x | 0.7x | 1.0x | |
Upside (Analyst Target) | −8.3% | 66.3% | 21.0% | |
Fair Value Upside | Unlock | 18.1% | 8.9% | Unlock |