Etsy (ETSY, $207.26) stock downgraded by KeyBanc
On Monday, e-commerce company Etsy's stock dropped premarket Monday after a KeyBanc analyst downgraded it to sector weight from overweight.
Analyst Edward Yruma cited valuation and a lower near-term likelihood of positive earnings revisions as factors behind the revised outlook.
According to Yruma, Etsy has outperformed the broader market substantially since KeyBanc first set an outperform rating on the company in October 2017. But at present, the analyst views the stock's valuation as "fair" and the current consensus analyst expectations "reasonable."
ETSY sees its Stochastic Oscillator recovers from oversold territory
On May 16, 2022, the Stochastic Indicator for ETSY moved out of oversold territory and this could be a bullish sign for the stock. Traders may want to buy the stock or buy call options. Tickeron's A.I.dvisor looked at 62 instances where the indicator left the oversold zone. In 55 of the 62 cases the stock moved higher in the following days. This puts the odds of a move higher at over 89%.
Current price $86.62 is below $194.51 the lowest support line found by A.I. Throughout the month of 04/13/22 - 05/16/22, the price experienced a -26% Downtrend, while the week of 05/09/22 - 05/16/22 shows a +0.26% Uptrend.
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where ETSY's RSI Oscillator exited the oversold zone, 15 of 18 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 83%.
The Moving Average Convergence Divergence (MACD) for ETSY just turned positive on May 13, 2022. Looking at past instances where ETSY's MACD turned positive, the stock continued to rise in 39 of 47 cases over the following month. The odds of a continued upward trend are 83%.
Following a +18.34% 3-day Advance, the price is estimated to grow further. Considering data from situations where ETSY advanced for three days, in 282 of 339 cases, the price rose further within the following month. The odds of a continued upward trend are 83%.
ETSY may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Momentum Indicator moved below the 0 level on May 05, 2022. You may want to consider selling the stock, shorting the stock, or exploring put options on ETSY as a result. In 60 of 86 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 70%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where ETSY declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 72%.
The Aroon Indicator for ETSY entered a downward trend on May 16, 2022. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Tickeron has a positive outlook on this ticker and predicts a further increase by more than 4.00% within the next month with a likelihood of 70%. During the last month, the daily ratio of advancing to declining volumes was 1 to 1.31.
The Tickeron SMR rating for this company is 50 (best 1 - 100 worst), indicating slightly weaker than average sales and a marginally profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is 54 (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 62 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 94, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is 65 (best 1 - 100 worst), indicating steady price growth. ETSY’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of 75 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of 86 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (17.301) is normal, around the industry mean (19.933). P/E Ratio (30.675) is within average values for comparable stocks, (97.426). Projected Growth (PEG Ratio) (1.381) is also within normal values, averaging (3.022). Dividend Yield (0.000) settles around the average of (0.024) among similar stocks. P/S Ratio (5.747) is also within normal values, averaging (40.369).
The internet retail industry includes companies that sell products and services through the Internet. With more and more consumers using online retailers, the companies have seen a big increase in the use of their services. Some of the companies in the group are focused on selling business-to-business products and services. Others sell business-to-consumer products and services. Internet retailers offer a wide variety of products like books, apparel, and electronics. Some companies even specialize in only one or two categories. One potentially critical factor for players to thrive in this space is the quality and speed of product delivery. This requires an investment in efficient distribution networks. Things like logistics are important factors in the success in the extremely competitive industry. For a company to stay relevant in the industry it must have effective pricing strategies and upgraded websites. The websites must be easy to navigate and engaging for customers. In addition to the revenues generated from straight sales, internet retailers can generate revenue from subscription fees and advertising. Amazon.com, Inc., Alibaba Group, and JD.com are some of the global leaders.
The average market capitalization across the Internet Retail Industry is 21.2B. The market cap for tickers in the group ranges from 30 to 1.2T. AMZN holds the highest valuation in this group at 1.2T. The lowest valued company is YUKA at 30.
The average weekly price growth across all stocks in the Internet Retail Industry was 0.69%. For the same Industry, the average monthly price growth was -5.82%, and the average quarterly price growth was -31%. SNHO experienced the highest price growth at 114.15%, while ID experienced the biggest fall at -35.57%.
- 5/14/22 4:23 AM: Etsy (ETSY, $92.08) was a top weekly gainer, with a +6.6% jump
- 5/5/22 4:57 AM: Etsy (ETSY, $109.33) was a top weekly gainer, with a +12.08% jump
- 2/26/22 6:56 AM: Etsy (ETSY, $148.94) was a top weekly gainer, with a +17% jump
The average weekly volume growth across all stocks in the Internet Retail Industry was 13.94%. For the same stocks of the Industry, the average monthly volume growth was 50.08% and the average quarterly volume growth was 5.7%
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Stocks in the group have a Negative Outlook today, backed by the Aroon Indicator. Tickeron has a negative outlook on this group and predicts a further decline by more than 4.00% within the next month with a likelihood of 51%. During the last month, the daily ratio of advancing to declining volumes was 1 to 1.27.
8 stocks in the group of tickers confirmed the negative outlook based on the MA50MA10 indicator with average odds of 65%.
The average market capitalization across the group is 7.9B. The market cap for tickers in the group ranges from 114.7M to 26.6B. CPRT holds the highest valuation in this group at 26.6B. The lowest valued company is CIDM at 114.7M.
The average weekly price growth across all stocks in the group was 1.75%. For the same group, the average monthly price growth was -9.74%, and the average quarterly price growth was -25.24%. KAR experienced the highest price growth at 11.63%, while ACTG experienced the biggest fall at -2.4%.
- 5/10/22 5:36 AM: Cinedigm (CIDM, $0.62) is a top weekly loser for penny stocks, falling -15.07%
- 5/5/22 4:57 AM: Copart (CPRT, $118.83) was a top weekly gainer, with a +5.23% jump
- 5/4/22 8:26 AM: Charles River Laboratories International (CRL, $251.19) was a top weekly gainer, with a +8.43% jump
The average weekly volume growth across all stocks in the group was -73.11%. For the same stocks of the group, the average monthly volume growth was -54.24% and the average quarterly volume growth was -60.84%
- 4/30/22 5:53 AM: The volume for ABM Industries stock increased for one day, resulting in a record-breaking daily growth of 441% of the 65-Day Volume Moving Average
- 2/17/22 6:18 AM: The volume for Charles River Laboratories International stock increased for one day, resulting in a record-breaking daily growth of 210% of the 65-Day Volume Moving Average
- 2/17/22 6:17 AM: The volume for Cinedigm stock increased for one day, resulting in a record-breaking daily growth of 202% of the 65-Day Volume Moving Average
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows