Q2 STOCKS TO BUY

Etsy Stock Edges Higher Despite Seller Pushback

The security is down over 52% year-to-date, though

Deputy Editor
Aug 29, 2022 at 10:41 AM
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Etsy Inc (NASDAQ:ETSY) is receiving some attention today, after news the online platform will require U.S. sellers to self-verify their bank accounts, or provide fintech platform Plaid with their banking username and password, drawing pushback from sellers. ETSY has rebounded from its premarket losses, however, up 1.8% at $106.16 at last check. 

On the charts, the shares are seeing pressure at their descending 160-day moving average, though the $100 region has provided a floor for the stock for the last month. Year-to-date, the equity is down 52.1%.

Though shorts have been jumping ship, with short interest down 20.5% over the last month, the 13.83 million shares sold short still account for 11% of the stock's available float. It would take nearly three days to buy back these bearish bets, at ETSY's average pace of trading. 

Of the 21 analysts in coverage, 12 carry a "buy" or better rating, while nine say tepid "hold." Similarly bullish-leaning, the 12-month consensus price target of $118.09 is a 10.9% premium to current levels. 

Meanwhile, now looks like a good time to weigh in on Etsy stock with options. The equity's Schaeffer's Volatility Scorecard (SVS) of 97 out of 100 suggests it tends to outperform options traders' volatility expectations.

 

 

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