Etsy (ETSY) Reports Earnings Tomorrow. What To Expect
Online marketplace Etsy (NASDAQ:ETSY) will be reporting earnings tomorrow after market close. Here's what you need to know.
Last quarter Etsy reported revenues of $636.3 million, up 7% year on year, in line with analyst expectations. It was a weak quarter for the company. Etsy guided to Q4 GMS (gross merchandise sales) below expectations. Its revenue growth also regrettably slowed. The company reported 97.34 million active buyers, up 3.4% year on year.
Is Etsy buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting Etsy's revenue to grow 2.5% year on year to $827.2 million, slowing down from the 12.6% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.33 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 3.6%.
Looking at Etsy's peers in the consumer internet segment, some of them have already reported Q4 earnings results, giving us a hint of what we can expect. Pinterest reported revenues up 11.9% year on year, missing analyst estimates by 0.9%. Pinterest was down 21.4%.
Read our full analysis of Pinterest's results here.
There has been positive sentiment among investors in the consumer internet segment, with the stocks up on average 4.1% over the last month. Etsy is up 7.5% during the same time, and is heading into the earnings with analyst price target of $84.6, compared to share price of $76.2.
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