Stock Analysis on Net

Etsy Inc. (NASDAQ:ETSY)

This company has been moved to the archive! The financial data has not been updated since November 3, 2022.

Common Stock Valuation Ratios (Price Multiples) 

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Current Valuation Ratios

Etsy Inc., current price multiples

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Etsy Inc. Amazon.com Inc. Home Depot Inc. Lowe’s Cos. Inc. TJX Cos. Inc. Consumer Discretionary Distribution & Retail Consumer Discretionary
Selected Financial Data
Current share price (P) $100.03
No. shares of common stock outstanding 125,688,316
Growth rate (g) 37.19%
 
Earnings per share (EPS) $3.93
Next year expected EPS $5.39
Operating profit per share $3.71
Sales per share $18.53
Book value per share (BVPS) $5.00
Valuation Ratios (Price Multiples)
Price to earnings (P/E) 25.48 70.12 26.24 19.31 30.19 53.97 45.10
Price to next year expected earnings 18.57 60.56 4.22 6.67 22.64 41.22 36.54
Price-earnings-growth (PEG) 0.69 4.45 0.05 0.10 0.91 1.74 1.92
Price to operating profit (P/OP) 27.00 57.89 18.32 12.91 23.30 52.73 47.12
Price to sales (P/S) 5.40 3.71 2.60 1.73 2.49 3.89 4.14
Price to book value (P/BV) 20.00 10.57 380.60 18.50 18.92 15.48

Based on: 10-K (reporting date: 2021-12-31).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.


Historical Valuation Ratios (Summary)

Etsy Inc., historical price multiples

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Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Price to earnings (P/E) 38.34 79.50 71.24 109.97 37.61
Price to operating profit (P/OP) 40.62 65.48 76.97 113.95 258.61
Price to sales (P/S) 8.12 16.09 8.35 14.12 6.97
Price to book value (P/BV) 30.10 37.40 16.80 21.26 7.75

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Etsy Inc. P/E ratio increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Etsy Inc. P/OP ratio decreased from 2019 to 2020 and from 2020 to 2021.
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Etsy Inc. P/S ratio increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Etsy Inc. P/BV ratio increased from 2019 to 2020 but then slightly decreased from 2020 to 2021.

Price to Earnings (P/E)

Etsy Inc., historical P/E calculation, comparison to benchmarks

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Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
No. shares of common stock outstanding1 127,032,946 126,049,276 117,949,068 119,566,393 121,502,754
Selected Financial Data (US$)
Net income (in thousands) 493,507 349,246 95,894 77,491 81,800
Earnings per share (EPS)2 3.88 2.77 0.81 0.65 0.67
Share price1, 3 148.94 220.27 57.92 71.27 25.32
Valuation Ratio
P/E ratio4 38.34 79.50 71.24 109.97 37.61
Benchmarks
P/E Ratio, Competitors5
Amazon.com Inc. 48.08 78.20 86.30
Home Depot Inc. 24.51 17.38 18.87
Lowe’s Cos. Inc. 22.36 11.96 37.80
TJX Cos. Inc. 881.78 17.13 21.11
P/E Ratio, Sector
Consumer Discretionary Distribution & Retail 40.84 49.11 48.49
P/E Ratio, Industry
Consumer Discretionary 38.75 72.10 39.37

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 Data adjusted for splits and stock dividends.

2 2021 Calculation
EPS = Net income ÷ No. shares of common stock outstanding
= 493,507,000 ÷ 127,032,946 = 3.88

3 Closing price as at the filing date of Etsy Inc. Annual Report.

4 2021 Calculation
P/E ratio = Share price ÷ EPS
= 148.94 ÷ 3.88 = 38.34

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Etsy Inc. P/E ratio increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.

Price to Operating Profit (P/OP)

Etsy Inc., historical P/OP calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
No. shares of common stock outstanding1 127,032,946 126,049,276 117,949,068 119,566,393 121,502,754
Selected Financial Data (US$)
Income from operations (in thousands) 465,732 424,009 88,761 74,786 11,896
Operating profit per share2 3.67 3.36 0.75 0.63 0.10
Share price1, 3 148.94 220.27 57.92 71.27 25.32
Valuation Ratio
P/OP ratio4 40.62 65.48 76.97 113.95 258.61
Benchmarks
P/OP Ratio, Competitors5
Amazon.com Inc. 64.48 72.85 68.77
Home Depot Inc. 17.25 12.33 13.51
Lowe’s Cos. Inc. 13.52 8.11 21.77
TJX Cos. Inc. 137.02 12.69 15.31
P/OP Ratio, Sector
Consumer Discretionary Distribution & Retail 39.89 39.83 35.55
P/OP Ratio, Industry
Consumer Discretionary 40.49 58.11 30.48

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 Data adjusted for splits and stock dividends.

2 2021 Calculation
Operating profit per share = Income from operations ÷ No. shares of common stock outstanding
= 465,732,000 ÷ 127,032,946 = 3.67

3 Closing price as at the filing date of Etsy Inc. Annual Report.

4 2021 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 148.94 ÷ 3.67 = 40.62

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Etsy Inc. P/OP ratio decreased from 2019 to 2020 and from 2020 to 2021.

Price to Sales (P/S)

Etsy Inc., historical P/S calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
No. shares of common stock outstanding1 127,032,946 126,049,276 117,949,068 119,566,393 121,502,754
Selected Financial Data (US$)
Revenue (in thousands) 2,329,114 1,725,625 818,379 603,693 441,231
Sales per share2 18.33 13.69 6.94 5.05 3.63
Share price1, 3 148.94 220.27 57.92 71.27 25.32
Valuation Ratio
P/S ratio4 8.12 16.09 8.35 14.12 6.97
Benchmarks
P/S Ratio, Competitors5
Amazon.com Inc. 3.41 4.32 3.56
Home Depot Inc. 2.39 1.77 1.94
Lowe’s Cos. Inc. 1.46 0.71 1.23
TJX Cos. Inc. 2.48 1.34 1.66
P/S Ratio, Sector
Consumer Discretionary Distribution & Retail 2.94 3.23 2.73
P/S Ratio, Industry
Consumer Discretionary 3.56 3.77 2.33

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 Data adjusted for splits and stock dividends.

2 2021 Calculation
Sales per share = Revenue ÷ No. shares of common stock outstanding
= 2,329,114,000 ÷ 127,032,946 = 18.33

3 Closing price as at the filing date of Etsy Inc. Annual Report.

4 2021 Calculation
P/S ratio = Share price ÷ Sales per share
= 148.94 ÷ 18.33 = 8.12

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Etsy Inc. P/S ratio increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.

Price to Book Value (P/BV)

Etsy Inc., historical P/BV calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
No. shares of common stock outstanding1 127,032,946 126,049,276 117,949,068 119,566,393 121,502,754
Selected Financial Data (US$)
Stockholders’ equity (in thousands) 628,619 742,424 406,634 400,898 396,894
Book value per share (BVPS)2 4.95 5.89 3.45 3.35 3.27
Share price1, 3 148.94 220.27 57.92 71.27 25.32
Valuation Ratio
P/BV ratio4 30.10 37.40 16.80 21.26 7.75
Benchmarks
P/BV Ratio, Competitors5
Amazon.com Inc. 11.60 17.86 16.11
Home Depot Inc. 95.58
Lowe’s Cos. Inc. 90.79 25.96 24.01
TJX Cos. Inc. 13.68 9.42 12.79
P/BV Ratio, Sector
Consumer Discretionary Distribution & Retail 14.31 20.07 19.77
P/BV Ratio, Industry
Consumer Discretionary 13.30 18.17 13.59

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 Data adjusted for splits and stock dividends.

2 2021 Calculation
BVPS = Stockholders’ equity ÷ No. shares of common stock outstanding
= 628,619,000 ÷ 127,032,946 = 4.95

3 Closing price as at the filing date of Etsy Inc. Annual Report.

4 2021 Calculation
P/BV ratio = Share price ÷ BVPS
= 148.94 ÷ 4.95 = 30.10

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Etsy Inc. P/BV ratio increased from 2019 to 2020 but then slightly decreased from 2020 to 2021.