Etsy’s restructuring ‘positive’ for margins for 2024, beyond, says Truist

Truist maintains a Buy rating and $87 price target on Etsy after the company announced a restructuring plan, in which it plans to reduce its headcount by 11% along with the reorganization of certain businesses. The firm estimates that the restructuring could generate $20M-$22M in savings on an annualized basis and views the move positively for margins for 2024 and beyond, the analyst tells investors in a research note. Etsy’s Q4 guidance is in line with expectations, the firm adds.