Morgan Stanley Issues Pessimistic Forecast for Etsy (NASDAQ:ETSY) Stock Price

Etsy (NASDAQ:ETSY) had its price target reduced by Morgan Stanley from $45.00 to $44.00 in a research note issued to investors on Thursday,Benzinga reports. They currently have an underweight rating on the specialty retailer’s stock.

A number of other equities analysts also recently commented on ETSY. UBS Group decreased their target price on Etsy from $55.00 to $54.00 and set a “neutral” rating for the company in a report on Thursday. Barclays decreased their price objective on shares of Etsy from $60.00 to $55.00 and set an “equal weight” rating for the company in a report on Thursday, October 31st. Bank of America cut their target price on shares of Etsy from $61.00 to $58.00 and set a “neutral” rating on the stock in a research note on Thursday, October 24th. Cantor Fitzgerald decreased their price target on shares of Etsy from $46.00 to $43.00 and set a “neutral” rating for the company in a research note on Thursday. Finally, Wells Fargo & Company lifted their price objective on Etsy from $44.00 to $47.00 and gave the company an “underweight” rating in a research report on Thursday. Four investment analysts have rated the stock with a sell rating, fourteen have assigned a hold rating, seven have issued a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $58.78.

Etsy Stock Down 0.3 %

Shares of ETSY opened at $51.26 on Thursday. The stock has a market capitalization of $5.49 billion, a P/E ratio of 21.63, a PEG ratio of 2.57 and a beta of 2.00. Etsy has a twelve month low of $47.10 and a twelve month high of $74.82. The firm has a fifty day simple moving average of $54.43 and a two-hundred day simple moving average of $53.78.

Etsy (NASDAQ:ETSY) last posted its earnings results on Wednesday, February 19th. The specialty retailer reported $1.03 earnings per share for the quarter, topping analysts’ consensus estimates of $0.95 by $0.08. Etsy had a net margin of 10.80% and a negative return on equity of 46.62%. The company had revenue of $852.16 million during the quarter, compared to analyst estimates of $861.37 million. During the same period in the prior year, the business posted $0.62 earnings per share. Etsy’s revenue for the quarter was up 1.2% on a year-over-year basis. Sell-side analysts expect that Etsy will post 2.57 EPS for the current fiscal year.

Etsy declared that its board has authorized a stock buyback program on Wednesday, October 30th that allows the company to repurchase $1.00 billion in shares. This repurchase authorization allows the specialty retailer to buy up to 17.8% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity

In other Etsy news, insider Nicholas Daniel sold 1,500 shares of the company’s stock in a transaction dated Monday, February 3rd. The shares were sold at an average price of $55.34, for a total transaction of $83,010.00. Following the transaction, the insider now owns 22,198 shares in the company, valued at approximately $1,228,437.32. This represents a 6.33 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 2.60% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in ETSY. Blue Trust Inc. boosted its holdings in Etsy by 106.5% in the third quarter. Blue Trust Inc. now owns 448 shares of the specialty retailer’s stock worth $26,000 after purchasing an additional 231 shares during the last quarter. Lindbrook Capital LLC lifted its holdings in shares of Etsy by 55.7% during the 4th quarter. Lindbrook Capital LLC now owns 506 shares of the specialty retailer’s stock valued at $27,000 after buying an additional 181 shares during the period. True Wealth Design LLC lifted its holdings in shares of Etsy by 112.7% during the 4th quarter. True Wealth Design LLC now owns 551 shares of the specialty retailer’s stock valued at $29,000 after buying an additional 292 shares during the period. Hurley Capital LLC purchased a new position in shares of Etsy in the 4th quarter worth $32,000. Finally, Strategic Investment Solutions Inc. IL bought a new stake in shares of Etsy in the fourth quarter worth $34,000. 99.53% of the stock is owned by hedge funds and other institutional investors.

About Etsy

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.