Truist Raises Target Price on Etsy (ETSY) to $83, Following Q4 Results

Core Insights - Etsy Inc. is recognized as one of the best consumer discretionary stocks to buy, with Truist raising its target price to $83, reflecting a positive outlook following the company's Q4 2025 results and Q1 2026 guidance [1][7] Financial Performance - Etsy's Q4 2025 results showed a revenue growth acceleration to 6.6% year-over-year, up from 0.9% in Q3 2025, primarily driven by a recovery in gross merchandise sales (GMS) and an improved take rate [2] - Comparable GMS grew 2.4% year-over-year to $3.6 billion, compared to 0.9% in Q3 2025, with mobile app GMS increasing by 6.6% year-over-year [3] - The US market experienced positive GMS growth for the first time since Q4 2021, indicating a significant recovery [3] Operational Metrics - Etsy's take rate expanded by 170 basis points year-over-year to 24.5%, up from 22.8%, with the divestiture of Reverb contributing to approximately half of this improvement [4] - Additional revenue from advertising and other ancillary sources also played a role in the increase of the take rate [4]