ETSY INC (ETSY) Stock Fundamental Analysis
NYSE:ETSY • US29786A1060
54.46 USD
+0.49 (+0.91%)
At close: Mar 3, 2026
54.46 USD
0 (0%)
After Hours: 3/3/2026, 7:09:34 PM
We assign a fundamental rating of 4 out of 10 to ETSY. ETSY was compared to 30 industry peers in the Broadline Retail industry. While ETSY is still in line with the averages on profitability rating, there are concerns on its financial health. ETSY has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year ETSY was profitable.
- ETSY had a positive operating cash flow in the past year.
- ETSY had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years ETSY had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 5.76%, ETSY is doing good in the industry, outperforming 73.33% of the companies in the same industry.
- ETSY has a better Return On Invested Capital (12.18%) than 83.33% of its industry peers.
- ETSY had an Average Return On Invested Capital over the past 3 years of 13.54%. This is above the industry average of 9.25%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.76% | ||
| ROE | N/A | ||
| ROIC | 12.18% |
ROA(3y)9.92%
ROA(5y)3.26%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)13.54%
ROIC(5y)12.85%
1.3 Margins
- ETSY has a Profit Margin (5.65%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of ETSY has declined.
- With an excellent Operating Margin value of 12.76%, ETSY belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
- In the last couple of years the Operating Margin of ETSY has declined.
- ETSY's Gross Margin of 71.64% is amongst the best of the industry. ETSY outperforms 86.67% of its industry peers.
- ETSY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.76% | ||
| PM (TTM) | 5.65% | ||
| GM | 71.64% |
OM growth 3Y-5.38%
OM growth 5Y-12.28%
PM growth 3YN/A
PM growth 5Y-22.52%
GM growth 3Y0.31%
GM growth 5Y-0.39%
2. Health
2.1 Basic Checks
- ETSY has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- ETSY has less shares outstanding than it did 1 year ago.
- ETSY has less shares outstanding than it did 5 years ago.
- ETSY has a worse debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.33, we must say that ETSY is in the distress zone and has some risk of bankruptcy.
- The Altman-Z score of ETSY (1.33) is worse than 60.00% of its industry peers.
- ETSY has a debt to FCF ratio of 4.82. This is a neutral value as ETSY would need 4.82 years to pay back of all of its debts.
- ETSY has a Debt to FCF ratio (4.82) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.82 | ||
| Altman-Z | 1.33 |
ROIC/WACC1.67
WACC7.3%
2.3 Liquidity
- A Current Ratio of 1.44 indicates that ETSY should not have too much problems paying its short term obligations.
- The Current ratio of ETSY (1.44) is comparable to the rest of the industry.
- ETSY has a Quick Ratio of 1.44. This is a normal value and indicates that ETSY is financially healthy and should not expect problems in meeting its short term obligations.
- ETSY's Quick ratio of 1.44 is in line compared to the rest of the industry. ETSY outperforms 56.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
- ETSY shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.38%.
- ETSY shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.17% yearly.
- ETSY shows a small growth in Revenue. In the last year, the Revenue has grown by 2.68%.
- ETSY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.81% yearly.
EPS 1Y (TTM)-3.38%
EPS 3YN/A
EPS 5Y-3.17%
EPS Q2Q%-10.68%
Revenue 1Y (TTM)2.68%
Revenue growth 3Y3.96%
Revenue growth 5Y10.81%
Sales Q2Q%3.46%
3.2 Future
- ETSY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 29.65% yearly.
- The Revenue is expected to grow by 4.95% on average over the next years.
EPS Next Y13.22%
EPS Next 2Y15.81%
EPS Next 3Y41.42%
EPS Next 5Y29.65%
Revenue Next Year2.89%
Revenue Next 2Y4.37%
Revenue Next 3Y5.17%
Revenue Next 5Y4.95%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- ETSY is valuated rather expensively with a Price/Earnings ratio of 23.78.
- ETSY's Price/Earnings ratio is a bit cheaper when compared to the industry. ETSY is cheaper than 63.33% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 26.83. ETSY is around the same levels.
- Based on the Price/Forward Earnings ratio of 21.00, the valuation of ETSY can be described as rather expensive.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ETSY is on the same level as its industry peers.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.95, ETSY is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.78 | ||
| Fwd PE | 21 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ETSY indicates a somewhat cheap valuation: ETSY is cheaper than 66.67% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, ETSY is valued cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.42 | ||
| EV/EBITDA | 12.58 |
4.3 Compensation for Growth
- ETSY's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of ETSY may justify a higher PE ratio.
- A more expensive valuation may be justified as ETSY's earnings are expected to grow with 41.42% in the coming years.
PEG (NY)1.8
PEG (5Y)N/A
EPS Next 2Y15.81%
EPS Next 3Y41.42%
5. Dividend
5.1 Amount
- No dividends for ETSY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
54.46
+0.49 (+0.91%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)02-19 2026-02-19/bmo
Earnings (Next)04-28 2026-04-28
Inst Owners127.45%
Inst Owner Change-9.34%
Ins Owners1.06%
Ins Owner Change0.23%
Market Cap5.38B
Revenue(TTM)2.88B
Net Income(TTM)162.98M
Analysts68
Price Target63.26 (16.16%)
Short Float %15.06%
Short Ratio3.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.31%
Min EPS beat(2)7.17%
Max EPS beat(2)17.46%
EPS beat(4)2
Avg EPS beat(4)-6.51%
Min EPS beat(4)-42.84%
Max EPS beat(4)17.46%
EPS beat(8)3
Avg EPS beat(8)-5.99%
EPS beat(12)5
Avg EPS beat(12)-3.62%
EPS beat(16)6
Avg EPS beat(16)-133.74%
Revenue beat(2)1
Avg Revenue beat(2)-0.44%
Min Revenue beat(2)-2.32%
Max Revenue beat(2)1.44%
Revenue beat(4)2
Avg Revenue beat(4)0.09%
Min Revenue beat(4)-2.32%
Max Revenue beat(4)1.89%
Revenue beat(8)3
Avg Revenue beat(8)-0.55%
Revenue beat(12)4
Avg Revenue beat(12)-0.56%
Revenue beat(16)7
Avg Revenue beat(16)0.23%
PT rev (1m)-8.05%
PT rev (3m)-11.04%
EPS NQ rev (1m)42.5%
EPS NQ rev (3m)42.45%
EPS NY rev (1m)-0.28%
EPS NY rev (3m)-7.93%
Revenue NQ rev (1m)-6.18%
Revenue NQ rev (3m)-6.31%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.78 | ||
| Fwd PE | 21 | ||
| P/S | 1.86 | ||
| P/FCF | 8.42 | ||
| P/OCF | 7.75 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.58 |
EPS(TTM)2.29
EY4.2%
EPS(NY)2.59
Fwd EY4.76%
FCF(TTM)6.47
FCFY11.88%
OCF(TTM)7.02
OCFY12.9%
SpS29.21
BVpS-11.12
TBVpS-14.52
PEG (NY)1.8
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.76% | ||
| ROE | N/A | ||
| ROCE | 25.14% | ||
| ROIC | 12.18% | ||
| ROICexc | 52.23% | ||
| ROICexgc | 163.61% | ||
| OM | 12.76% | ||
| PM (TTM) | 5.65% | ||
| GM | 71.64% | ||
| FCFM | 22.15% |
ROA(3y)9.92%
ROA(5y)3.26%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)13.54%
ROIC(5y)12.85%
ROICexc(3y)40.44%
ROICexc(5y)33.69%
ROICexgc(3y)147.39%
ROICexgc(5y)148.29%
ROCE(3y)21.93%
ROCE(5y)19.91%
ROICexgc growth 3Y-1.4%
ROICexgc growth 5YN/A
ROICexc growth 3Y17.12%
ROICexc growth 5Y-13.15%
OM growth 3Y-5.38%
OM growth 5Y-12.28%
PM growth 3YN/A
PM growth 5Y-22.52%
GM growth 3Y0.31%
GM growth 5Y-0.39%
F-Score5
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.82 | ||
| Debt/EBITDA | 6.55 | ||
| Cap/Depr | 53.67% | ||
| Cap/Sales | 1.9% | ||
| Interest Coverage | 30.07 | ||
| Cash Conversion | 147.61% | ||
| Profit Quality | 391.91% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 1.33 |
F-Score5
WACC7.3%
ROIC/WACC1.67
Cap/Depr(3y)45.87%
Cap/Depr(5y)43.33%
Cap/Sales(3y)1.63%
Cap/Sales(5y)1.53%
Profit Quality(3y)280.7%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.38%
EPS 3YN/A
EPS 5Y-3.17%
EPS Q2Q%-10.68%
EPS Next Y13.22%
EPS Next 2Y15.81%
EPS Next 3Y41.42%
EPS Next 5Y29.65%
Revenue 1Y (TTM)2.68%
Revenue growth 3Y3.96%
Revenue growth 5Y10.81%
Sales Q2Q%3.46%
Revenue Next Year2.89%
Revenue Next 2Y4.37%
Revenue Next 3Y5.17%
Revenue Next 5Y4.95%
EBIT growth 1Y-3.23%
EBIT growth 3Y-1.63%
EBIT growth 5Y-2.8%
EBIT Next Year176.88%
EBIT Next 3Y45.71%
EBIT Next 5Y28.93%
FCF growth 1Y-9.9%
FCF growth 3Y-0.4%
FCF growth 5Y-0.98%
OCF growth 1Y-7.85%
OCF growth 3Y0.48%
OCF growth 5Y0.42%
ETSY INC / ETSY FAQ
Can you provide the ChartMill fundamental rating for ETSY INC?
ChartMill assigns a fundamental rating of 4 / 10 to ETSY.
Can you provide the valuation status for ETSY INC?
ChartMill assigns a valuation rating of 5 / 10 to ETSY INC (ETSY). This can be considered as Fairly Valued.
How profitable is ETSY INC (ETSY) stock?
ETSY INC (ETSY) has a profitability rating of 6 / 10.
Can you provide the financial health for ETSY stock?
The financial health rating of ETSY INC (ETSY) is 3 / 10.
Can you provide the expected EPS growth for ETSY stock?
The Earnings per Share (EPS) of ETSY INC (ETSY) is expected to grow by 13.22% in the next year.