Etsy price target lowered to $65 from $70 at Bernstein

Bernstein analyst Nikhil Devnani lowered the firm’s price target on Etsy to $65 from $70 and keeps a Market Perform rating on the shares. The firm walks away from Etsy’s Q4 with the same set of questions as it had going into it. While the company is drawing a line in the sand on margins for the year and still sees room for take rate expansion, which are positives in the firm’s opinion, GMS growth simply matters more, and Bernstein is back to debating the future trajectory of the top-line and the degree to which this is cyclical vs. structural vs. competition led. The 2024 commentary implies better year-over-year growth beyond the slow start to Q1, but the firm believes investors will treat this as a show-me story.