Etsy Stock Valuation

ETSY -  USA Stock  

USD 221.09  5.19  2.40%

Do you wonder what the value of Etsy Inc is? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Etsy, is its stock price multiplied by the total number of shares outstanding, calculating Etsy's enterprise value requires a different approach. It uses Etsy's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
Free Cash Flow is likely to rise to about 724.9 M in 2021. Enterprise Value is likely to rise to about 24.2 B in 2021.
Etsy Inc shows a prevailing Real Value of $219.05 per share. The current price of the firm is $221.09. At this time, the firm appears to be fairly valued. Our model computes the value of Etsy Inc from reviewing the firm fundamentals such as Shares Outstanding of 127.1 M, profit margin of 22.45 %, and Current Valuation of 27.73 B as well as analyzing its technical indicators and Probability Of Bankruptcy. In general, we advise acquiring undervalued instruments and dropping overvalued instruments since, at some point, asset prices and their ongoing real values will submerge.

Etsy Valuation 

 
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Etsy Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Etsy's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.
Fairly Valued
Today
221.09
18th of October 2021
Share
Please note that Etsy's price fluctuation is very steady at this time. Calculation of the real value of Etsy Inc is based on 3 months time horizon. Increasing Etsy's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Etsy Inc is useful when determining the fair value of the Etsy stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Etsy. Since Etsy is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Etsy Stock. However, Etsy's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
216.11
Downside
219.05
Real Value
221.99
Upside
Estimating the potential upside or downside of Etsy Inc helps investors to forecast how Etsy stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Etsy more accurately as focusing exclusively on Etsy's fundamentals will not take into account other important factors:
Earnings
Estimates (7)
LowProjected EPSHigh
2.552.953.41
Details
Hype
Prediction
LowEstimated ValueHigh
217.71220.65223.59
Details
Naive
Forecast
LowNext ValueHigh
227.16230.11233.05
Details
15 Analysts
Consensus
LowTarget PriceHigh
163.00225.86270.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Etsy's intrinsic value based on its ongoing forecasts of Etsy's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Etsy's closest peers. When choosing an evaluation method for Etsy Inc, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Etsy Investments

500.86 MillionShare

Etsy Valuation Drivers Correlation

Many accounts on the financial statements of Etsy Inc are highly interrelated and sometimes correlated. Consequently, when conducting Etsy's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Etsy
Click cells to compare fundamentals

Etsy Valuation Trend

Knowing Etsy's actual value is paramount for traders to make sound investment determinations. Etsy's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Etsy's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Etsy's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Etsy Market Cap

Etsy Inc is rated # 2 in market capitalization category among related companies. Market capitalization of Internet Retail industry is currently estimated at about 103.32 Billion. Etsy totals roughly 28.1 Billion in market capitalization claiming about 27% of equities under Internet Retail industry.
Capitalization  Total debt  Valuation  Workforce  Revenue

Etsy Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Etsy's current stock value. Our valuation model uses many indicators to compare Etsy value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Etsy competition to find correlations between indicators driving Etsy's intrinsic value. More Info.
Etsy Inc is rated # 2 in price to book category among related companies. It is rated # 3 in beta category among related companies totaling about  0.04  of Beta per Price to Book. The ratio of Price to Book to Beta for Etsy Inc is roughly  25.47 

About Etsy Valuation

The equity valuation mechanism determines the current worth of Etsy Inc on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Etsy Inc. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Etsy Inc based exclusively on its fundamental and basic technical indicators. By analyzing Etsy's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Etsy's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Etsy. We calculate exposure to Etsy's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Etsy's related companies.
Last ReportedProjected for 2021
Gross Profit1.3 B1.4 B
Profit Margin 0.20  0.22 
Etsy, Inc. operates two-sided online marketplaces that connect buyers and sellers primarily in the United States, the United Kingdom, Germany, Canada, Australia, France, and India. Etsy, Inc. was founded in 2005 and is headquartered in Brooklyn, New York. Etsy operates under Internet Retail classification in the United States and is traded on NASDAQ Exchange. It employs 1598 people.

Etsy Quarterly Enterprise Value

26.35 BillionShare

Etsy Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Etsy does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio6.16
Earnings Quarterly Growth1.90%
Revenue Growth23.40%
Enterprise Value To Ebitda50.25
Earnings Growth-8.30%
Enterprise Value To Revenue12.91

Etsy Current Valuation Indicators

Valuation refers to the process of determining the present value of Etsy Inc and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Etsy we look at many different elements of the entity such as Etsy's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Continue to Investing Opportunities. Note that the Etsy Inc information on this page should be used as a complementary analysis to other Etsy's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Content Syndication module to quickly integrate customizable finance content to your own investment portal.

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When running Etsy Inc price analysis, check to measure Etsy's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Etsy is operating at the current time. Most of Etsy's value examination focuses on studying past and present price action to predict the probability of Etsy's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Etsy's price. Additionally, you may evaluate how the addition of Etsy to your portfolios can decrease your overall portfolio volatility.
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The market value of Etsy Inc is measured differently than its book value, which is the value of Etsy that is recorded on the company's balance sheet. Investors also form their own opinion of Etsy's value that differs from its market value or its book value, called intrinsic value, which is Etsy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Etsy's market value can be influenced by many factors that don't directly affect Etsy Inc underlying business (such as pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Etsy's value and its price as these two are different measures arrived at by different means. Investors typically determine Etsy value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Etsy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.