Etsy: The Competitive Landscape Has Shifted (Rating Downgrade)


  • Etsy is struggling with increased competition from platforms like Temu, resulting in potential brand dilution and alienation of core customers.
  • Elliott Management has acquired a significant stake in ETSY, reflecting investor concerns and potential for increased pressure on management to improve efficiency.
  • Etsy’s revenue growth has stalled, market share is declining, and recent acquisitions have not met expectations, casting doubt on the company’s strategy and long-term competitiveness.

Online Retailers - Amazon, Temu, eBay, Target, Walmart and Etsy.

Kenneth Cheung

Last year we downgraded our rating of Etsy (NASDAQ:ETSY) because it was clear that growth was stalling, and the company did not have a coherent strategy to reignite revenue expansion. In hindsight, we should have been even more

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