Etsy Inc ETSY 0.3% has demonstrated some major resilience over the past two years in the face of increasing competition from Amazon.com, Inc AMZN 0.65%. When Amazon first announced its entry into the handmade goods business, many traders feared the worst for Etsy. However, up to this point, Amazon still hasn’t gained major traction in the handmade category.
Etsy shares initially sold off in the first couple of months following its 2015 IPO. It certainly didn’t help the stock’s bearish momentum when Amazon launched its Handmade at Amazon market place in October 2015.
However, Etsy’s downfall never followed. The stock bottomed at $6.04 in January 2016 and has been on the rise ever since. In fact, in the past two years, Etsy’s stock has nearly kept pace with Amazon, gaining 42.6 percent compared to Amazon’s 57.7-percent gain.
In fact, Etsy’s trailing 12-month revenue growth has actually outpaced Amazon’s in the past two years. Amazon, which has earned quite a reputation for its growth, has increased revenue by 40.2 percent, while Etsy’s revenue has surged 44.9 percent.
Etsy has even managed to turn a modest profit over the past four quarters. Second-quarter EPS of 10 cents pushed Etsy’s rolling four-quarter EPS total to 6 cents ahead of the important holiday shopping season.
This week, Amazon announced…
Click here to continue reading
Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!
