Etsy reported better-than-expected earnings of $1.08 per share
The shares of Etsy Inc (NASDAQ:ETSY) are surging 11.3% to trade at $220.27 at last check, after the crafty e-commerce name reported fourth-quarter earnings of $1.08 per share -- much higher than the expected 59 cents -- as well as a revenue beat. Furthermore, Etsy chimed in with an upbeat current-quarter forecast, with revenue expected to come in between $513 million and $536 million. Meanwhile, Etsy CEO Josh Silverman stated that they are not thinking of accepting bitcoin right now, though he has been a holder of the cryptocurrency for the past six or seven years.
Etsy stock's pullback earlier this week brought the stock back to historically bullish trendline, and it has since bounced off support at the $192 region. Now climbing back up towards its Feb. 5 all-time high of $239.47, the equity is up 24.7% year-to-date.
Analysts have been quick to chime in after the event, with no fewer than seven price-target hikes, including one from Canaccord Genuity to $270 from $215. The brokerage bunch is definitively bullish on ETSY, with 13 of the 15 analysts in coverage carrying a "buy" or better rating.
Options traders have taken notice as well, with options volume running at quadruple what's typically seen at this point. More specifically, 34,000 calls and 21,000 puts have crossed the tape so far. The most popular is the weekly 2/26 230-strike call, followed by the 225-strike call in the same session, with new positions being opened at both. This means plenty of traders are betting on more upside for the security by the contract's expiration today.