Etsy price target lowered to $70 from $80 at Wedbush

Wedbush lowered the firm’s price target on Etsy to $70 from $80 and keeps a Neutral rating on the shares. The firm stays sidelined on Etsy into Q1 results to be reported on Wednesday, May, 1. While Wedbush expects mostly in-line Q1 results, it sees modest risk to Q2 GMS guidance. With last quarter’s results, Etsy guided to sequential GMS and sales growth improvement from Q1 as benefits from its product and marketing investments build, but weak engagement trends to start Q2, consumers’ continued preference for lower-cost alternatives in this weak macro environment, and fierce competition in performance marketing channels leave more cautious on the possibility for significant improvement near-term, the firm adds.