Why Etsy Analyst Expects Stock To Continue Its Steep Downtrend

Group 1 - Etsy Inc has experienced a 38% decline in shares year to date, facing increasing competition [1] - Goldman Sachs has downgraded Etsy's rating from Neutral to Sell, reducing the price target from $70 to$45 [1][2] - Analyst Eric Sheridan highlighted that gross merchandise sales have been declining longer than expected, with limited visibility into a return to positive growth [2] Group 2 - The Etsy Marketplace is projected to continue losing market share in global eCommerce sales, driven by muted active buyer growth and a competitive landscape [3] - Current Street expectations suggest a significant reacceleration in gross merchandise volume, despite low visibility on catalysts [4] - The risk/reward profile for Etsy remains unfavorable due to potential negative revisions to medium-term consensus estimates [4]