Etsy Stock: Etsy Earnings Top Estimates As E-Commerce Growth Slows

Etsy (ETSY) late Wednesday reported first-quarter earnings and revenue that topped analyst estimates, while the company’s revenue outlook came in below expectations. Still, Etsy stock rose on the news.




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The e-commerce marketplace reported results after the market close. Etsy earnings were 53 cents for the quarter ending March 31, down 12% from a year earlier. Also, revenue rose 11% to $640.9 million.

Analysts expected Etsy to report adjusted earnings of 51 cents a share on revenue of $622 million.

Gross merchandise sales, or the dollar value of items sold in all Etsy marketplaces, rose 4.6% to $3.1 billion. That topped Wall Street estimates of $3.06 billion.

Etsy Stock: Revenue Outlook Light

Etsy stock rose 4.1% to near 103 in extended trading on the stock market today.

The company is a provider of an online e-commerce platform where creators of arts and crafts, vintage items and other unique goods go to sell their products. Further, growth has slowed after the coronavirus emergency, which spurred more online shopping.

At the midpoint of the company’s outlook, Etsy said it expects second-quarter revenue of about $615 million, below estimates of $627 million.

Heading into the Etsy earnings report, shares had retreated 17% in 2023. Meanwhile, Etsy stock holds a Relative Strength Rating of 30 out of a best-possible 99, according to IBD Stock Check-up.

Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on 5G wireless, artificial intelligence, cybersecurity and cloud computing.

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