GURUFOCUS.COM » STOCK LIST » USA » NAS » Etsy Inc (NAS:ETSY) » Definitions » Financial Strength
Switch to:

Etsy Financial Strength

: 6 (As of Jun. 2022)
View and export this data going back to 2015. Start your Free Trial

Etsy has the Financial Strength Rank of 6.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

GuruFocus does not calculate Etsy's interest coverage with the available data. Etsy's debt to revenue ratio for the quarter that ended in Jun. 2022 was 1.02. As of today, Etsy's Altman Z-Score is 4.11.


Competitive Comparison

For the Internet Retail subindustry, Etsy's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Etsy Financial Strength Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, Etsy's Financial Strength distribution charts can be found below:

* The bar in red indicates where Etsy's Financial Strength falls into.



Etsy Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Etsy's Interest Expense for the months ended in Jun. 2022 was $0 Mil. Its Operating Income for the months ended in Jun. 2022 was $73 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $2,385 Mil.

Etsy's Interest Coverage for the quarter that ended in Jun. 2022 is

GuruFocus does not calculate Etsy's interest coverage with the available data.

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Etsy's Debt to Revenue Ratio for the quarter that ended in Jun. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(3.709 + 2384.806) / 2340.54
=1.02

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Etsy has a Z-score of 4.11, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 4.11 is strong.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Etsy  (NAS:ETSY) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Etsy has the Financial Strength Rank of 6.


Etsy Financial Strength Related Terms

Thank you for viewing the detailed overview of Etsy's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Etsy Business Description

Etsy logo
Address
117 Adams Street, Brooklyn, NY, USA, 11201
Etsy operates a top-10 e-commerce marketplace operator in the U.S. and the U.K., with sizable operations in France, Germany, Australia, and Canada. The firm dominates an interesting niche, connecting buyers and sellers through its online market to exchange vintage and craft goods. With $13.5 billion in 2021 consolidated gross merchandise volume, the firm has cemented itself as one of the largest players in a quickly growing space, generating revenue from listing fees, commissions on sold items, advertising services, payment processing, and shipping labels. As of the fourth quarter of 2021, the firm connected more than 96 million buyers and more than 7.5 million sellers on its marketplace properties: Etsy, Reverb (musical equipment), Elo7 (crafts in Brazil), and Depop (clothing resale).
Executives
Seymour Kimaria officer: Chief Human Resources Officer C/O ETSY, INC. 117 ADAMS STREET BROOKLYN NY 11201
Blow Marla J director 412 ETHAN ALLEN DRIVE TAKOMA PARK MD 20912
Ballard Andy director ONE MARITIME PLAZA SUITE 1350 SAN FRANCISCO CA 94111
Briggs Gary S director 117 ADAMS STREET C/O ETSY BROOKLYN NY 11201
Cooper Edith W director C/O ETSY, INC. 117 ADAMS STREET BROOKLYN NY 11249
Moskowitz Raina officer: Chief Ops,Strategy&Ppl Officer 117 ADAMS STREET C/O ETSY,INC. BROOKLYN NY 11201
Smyth Margaret Mary director PO BOX 33428 ST. PAUL MN 55133
Patel Goyal Kruti officer: Chief Product Officer 117 ADAMS STREET C/O ETSY, INC. BROOKLYN NY 11201
Scott Ryan M. officer: Chief Marketing Officer 117 ADAMS STREET C/O ETSY, INC. BROOKLYN NY 11249
Buckley Merilee officer: Chief Accounting Officer 117 ADAMS ST. C/O ETSY, INC. BROOKLYN NY 11201
Simeone Jill officer: General Counsel & Secretary C/O ETSY 117 ADAMS STREET BROOKLYN NY 11201
Silverman Josh director, officer: President & CEO 117 ADAMS STREET BROOKLYN NY 11201
Glaser Rachel C officer: Chief Financial Officer C/O ETSY, INC. 117 ADAMS STREET BROOKLYN NY 11201
Fisher Michael T officer: Chief Technology Officer 117 ADAMS STREET C/O ETSY, INC. BROOKLYN NY 11201
Mullane Karen M officer: Interim CFO C/O ETSY, INC. 117 ADAMS STREET BROOKLYN NY 11201

Etsy Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)