Etsy (NASDAQ:ETSY) Announces Quarterly Earnings Results

19 Feb 2026, 18:44 by Tristan Rich · The Markets Daily

Etsy (NASDAQ:ETSY – Get Free Report) announced its quarterly earnings results on Thursday. The specialty retailer reported $0.92 EPS for the quarter, beating the consensus estimate of $0.87 by $0.05, Briefing.com reports. Etsy had a net margin of 5.78% and a negative return on equity of 31.10%. The business’s revenue was up 3.5% compared to the same quarter last year. During the same period in the prior year, the business posted $1.03 earnings per share.

Here are the key takeaways from Etsy’s conference call:

Sale of Depop for $1.2 billion in cash, expected to close in 2Q26, will let Etsy focus on its core marketplace and provide proceeds for buybacks, investments, and general corporate purposes while removing a drag on consolidated margins.
Etsy’s core marketplace showed early rebound in Q4 — consolidated revenue hit a record $882M, consolidated adjusted EBITDA margin was 25.2%, Etsy Marketplace margin was slightly above 30%, and U.S. buyer GMS grew for the first time in four years.
Organizational and product changes (customer-outcome-focused teams, app redesign, and tighter owned marketing) are producing signals of improvement — app GMS growth accelerated, homepage clicks per visit rose ~14% Y/Y, and owned-channel engagement (push/email) is up ~25%.
Etsy is an early mover in AI/agentic commerce with integrations (Microsoft Copilot, Google, Stripe); agentic traffic was ~15x higher Y/Y (still
Structural challenges remain — habitual buyers declined 8.6% Y/Y, purchase frequency is still below last year, and consolidated margin was pressured by Depop brand investment and other cost increases, meaning sustainable growth is not yet fully proven.

Etsy Trading Up 11.2%

Shares of NASDAQ:ETSY traded up $4.93 during trading on Thursday, reaching $48.98. 8,564,450 shares of the company traded hands, compared to its average volume of 3,861,904. Etsy has a 52-week low of $40.05 and a 52-week high of $76.51. The firm has a market capitalization of $4.83 billion, a price-to-earnings ratio of 39.70, a P/E/G ratio of 10.65 and a beta of 1.77. The business’s fifty day moving average is $55.76 and its 200-day moving average is $59.57.

Key Headlines Impacting Etsy

Here are the key news stories impacting Etsy this week:

Positive Sentiment: Sale of Depop to eBay for $1.2B in cash gives Etsy immediate liquidity and lets management refocus on its core marketplace. Transaction expected to close in Q2 2026. TechCrunch: Etsy sells Depop to eBay
Positive Sentiment: Q4 earnings beat on EPS ($0.92 vs. consensus ~ $0.87–$0.88), showing operating leverage in the quarter even as prior‑year EPS was higher. Zacks: Etsy surpasses Q4 estimates
Positive Sentiment: High short interest likely amplified the move higher after the Depop deal and earnings, contributing to the sharp intraday/rally behavior. Benzinga: Short interest fuels rally
Neutral Sentiment: Etsy released full Q4/FY2025 results and a slide deck — revenue rose ~3.5% YoY and the company says marketplace GMS returned to slight growth in Q4 and expects GMS growth in FY2026. PR Newswire: Q4 and full-year results
Negative Sentiment: Underlying demand pressures: merchandise sales and buyer metrics weakened, and Etsy logged lower profit versus a year earlier despite revenue growth — signs of margin pressure and slower marketplace momentum. CNBC: Stock pops despite disappointing revenue/merchandise sales
Negative Sentiment: Depop was sold at a markdown relative to expectations and reported results (reports note a loss on the sale), which could concern investors about prior M&A execution and the company’s ability to grow newer businesses. The Information: Depop sold at a loss
Negative Sentiment: Profitability metrics remain constrained (net margin ~5.8%, negative return on equity reported), keeping longer‑term investor focus on whether core marketplace growth and margins can sustainably improve. MarketBeat: Q4 results and metrics

Analyst Ratings Changes

ETSY has been the topic of a number of research analyst reports. Needham & Company LLC upped their target price on Etsy from $72.00 to $76.00 and gave the stock a “buy” rating in a research note on Thursday, October 30th. B. Riley Financial reissued a “buy” rating on shares of Etsy in a report on Thursday, October 30th. Wells Fargo & Company decreased their price objective on shares of Etsy from $58.00 to $52.00 and set an “underweight” rating on the stock in a research report on Thursday, October 30th. Jefferies Financial Group dropped their target price on shares of Etsy from $62.00 to $55.00 and set a “hold” rating for the company in a research report on Thursday, February 12th. Finally, Deutsche Bank Aktiengesellschaft reissued a “hold” rating and issued a $72.00 price target on shares of Etsy in a report on Thursday, October 23rd. One research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, eighteen have issued a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat.com, Etsy currently has a consensus rating of “Hold” and a consensus price target of $63.52.

Get Our Latest Analysis on ETSY

Insider Buying and Selling at Etsy

In related news, CAO Merilee Buckley sold 5,636 shares of the company’s stock in a transaction on Monday, January 5th. The shares were sold at an average price of $58.45, for a total transaction of $329,424.20. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Josh Silverman sold 86,666 shares of the stock in a transaction on Friday, January 2nd. The shares were sold at an average price of $57.46, for a total transaction of $4,979,828.36. Following the sale, the insider directly owned 90,661 shares of the company’s stock, valued at $5,209,381.06. The trade was a 48.87% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 135,634 shares of company stock worth $7,647,664. 2.80% of the stock is owned by insiders.

Hedge Funds Weigh In On Etsy

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. LGT Financial Advisors LLC bought a new position in shares of Etsy during the third quarter valued at $133,000. Wexford Capital LP purchased a new stake in Etsy during the 3rd quarter valued at about $138,000. Quarry LP grew its position in Etsy by 279.9% during the 3rd quarter. Quarry LP now owns 2,549 shares of the specialty retailer’s stock valued at $169,000 after purchasing an additional 1,878 shares during the last quarter. iSAM Funds UK Ltd bought a new stake in Etsy during the 3rd quarter valued at about $118,000. Finally, Quadrant Capital Group LLC bought a new position in shares of Etsy in the third quarter worth approximately $161,000. Institutional investors own 99.53% of the company’s stock.

Etsy announced that its Board of Directors has authorized a stock buyback plan on Thursday, December 18th that authorizes the company to repurchase $750.00 million in shares. This repurchase authorization authorizes the specialty retailer to reacquire up to 14.2% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board believes its stock is undervalued.

About Etsy

(Get Free Report)

Etsy, Inc (NASDAQ: ETSY) operates a global e-commerce marketplace focused on handmade, vintage and unique goods. The platform connects individual artisans, small businesses and collectors with buyers seeking one-of-a-kind items, ranging from handcrafted jewelry and clothing to home décor and art supplies. Etsy’s revenue is primarily generated through listing fees, transaction fees on sales and optional seller services such as advertising and shipping labels.

Founded in 2005 and headquartered in Brooklyn, New York, Etsy has cultivated a community-driven ethos, encouraging sustainable practices and personal entrepreneurship.