Etsy (NASDAQ:ETSY) Stock Price Down 2.9% - Here's Why

Etsy, Inc. (NASDAQ:ETSY - Get Free Report) shares were down 2.9% during trading on Friday . The stock traded as low as $55.45 and last traded at $55.48. Approximately 148,333 shares were traded during trading, a decline of 96% from the average daily volume of 3,740,545 shares. The stock had previously closed at $57.14.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on ETSY shares. Wells Fargo & Company decreased their price target on Etsy from $47.00 to $44.00 and set an "underweight" rating for the company in a research note on Friday, November 1st. Stifel Nicolaus lowered their price objective on shares of Etsy from $64.00 to $56.00 and set a "hold" rating on the stock in a research report on Monday, October 28th. Bank of America decreased their target price on shares of Etsy from $61.00 to $58.00 and set a "neutral" rating for the company in a research note on Thursday, October 24th. Barclays cut their price objective on Etsy from $60.00 to $55.00 and set an "equal weight" rating for the company in a report on Thursday, October 31st. Finally, Deutsche Bank Aktiengesellschaft increased their price target on shares of Etsy from $48.00 to $50.00 and gave the stock a "hold" rating in a research report on Friday, November 1st. Four analysts have rated the stock with a sell rating, thirteen have assigned a hold rating, seven have issued a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Etsy has a consensus rating of "Hold" and a consensus target price of $63.17.

Etsy Stock Performance

The company has a market capitalization of $6.39 billion, a P/E ratio of 28.98, a PEG ratio of 6.96 and a beta of 1.99. The company's fifty day simple moving average is $53.51 and its 200-day simple moving average is $55.98.

Etsy (NASDAQ:ETSY - Get Free Report) last released its quarterly earnings data on Wednesday, October 30th. The specialty retailer reported $0.45 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.54 by ($0.09). The business had revenue of $662.40 million for the quarter, compared to the consensus estimate of $652.47 million. Etsy had a net margin of 9.17% and a negative return on equity of 46.79%. Etsy's revenue for the quarter was up 4.1% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.64 earnings per share. On average, sell-side analysts predict that Etsy, Inc. will post 2.25 EPS for the current year.

Etsy announced that its Board of Directors has authorized a share repurchase plan on Wednesday, October 30th that authorizes the company to buyback $1.00 billion in outstanding shares. This buyback authorization authorizes the specialty retailer to buy up to 17.8% of its shares through open market purchases. Shares buyback plans are usually an indication that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling at Etsy

In other news, CAO Merilee Buckley sold 1,676 shares of the stock in a transaction on Thursday, October 3rd. The stock was sold at an average price of $51.11, for a total transaction of $85,660.36. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Nicholas Daniel sold 750 shares of the business's stock in a transaction on Tuesday, October 1st. The stock was sold at an average price of $53.15, for a total value of $39,862.50. Following the transaction, the insider now owns 25,121 shares in the company, valued at approximately $1,335,181.15. This trade represents a 2.90 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 5,069 shares of company stock worth $261,888 over the last quarter. Insiders own 2.60% of the company's stock.

Institutional Investors Weigh In On Etsy

Several institutional investors have recently added to or reduced their stakes in ETSY. Meritage Portfolio Management grew its holdings in shares of Etsy by 152.4% during the third quarter. Meritage Portfolio Management now owns 264,689 shares of the specialty retailer's stock valued at $14,698,000 after buying an additional 159,820 shares during the last quarter. Everence Capital Management Inc. purchased a new stake in Etsy during the 3rd quarter valued at about $834,000. Pacer Advisors Inc. increased its holdings in shares of Etsy by 183.9% in the third quarter. Pacer Advisors Inc. now owns 5,961,952 shares of the specialty retailer's stock valued at $331,067,000 after purchasing an additional 3,861,668 shares during the period. Principal Financial Group Inc. raised its stake in shares of Etsy by 313.1% in the third quarter. Principal Financial Group Inc. now owns 542,505 shares of the specialty retailer's stock worth $30,125,000 after purchasing an additional 411,165 shares during the last quarter. Finally, Thrivent Financial for Lutherans lifted its holdings in shares of Etsy by 258.5% during the third quarter. Thrivent Financial for Lutherans now owns 118,434 shares of the specialty retailer's stock worth $6,576,000 after purchasing an additional 85,396 shares during the period. Institutional investors and hedge funds own 99.53% of the company's stock.

Etsy Company Profile

Etsy, Inc, together with its subsidiaries, operates two-sided online marketplaces that connect buyers and sellers in the United States, the United Kingdom, Germany, Canada, Australia, and France. Its primary marketplace is Etsy.com that connects artisans and entrepreneurs with various consumers. The company also offers Reverb, a musical instrument marketplace; Depop, a fashion resale marketplace; and Elo7, a Brazil-based marketplace for handmade and unique items.