GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Etsy Inc (BSP:E2TS34) » Definitions » Profitability Rank

Etsy (BSP:E2TS34) Profitability Rank : 8 (As of Dec. 2023)


View and export this data going back to 2021. Start your Free Trial

What is Etsy Profitability Rank?

Etsy has the Profitability Rank of 8. It has a higher profitability and may stay that way.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

Etsy's Operating Margin % for the quarter that ended in Dec. 2023 was 13.71%. As of today, Etsy's Piotroski F-Score is 5.


Competitive Comparison of Etsy's Profitability Rank

For the Internet Retail subindustry, Etsy's Profitability Rank, along with its competitors' market caps and Profitability Rank 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's Profitability Rank Distribution in the Retail - Cyclical Industry

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

* The bar in red indicates where Etsy's Profitability Rank falls into.



Etsy Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Etsy has the Profitability Rank of 8. It has a higher profitability and may stay that way.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Etsy's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=565.721 / 4127.209
=13.71 %

* 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.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Etsy has an F-score of 5 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Good Sign:

Etsy Inc operating margin is expanding. Margin expansion is usually a good sign.

4. Consistency of the profitability

5. Predictability Rank


Etsy Profitability Rank Related Terms

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


Etsy (BSP:E2TS34) Business Description

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 Germany, France, Australia, and Canada. The firm dominates an interesting niche, connecting buyers and sellers through its online market to exchange vintage and craft goods. With $13.3 billion in 2022 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 end of 2022, the firm connected more than 95 million buyers and 7.5 million sellers on its marketplace properties: Etsy, Reverb (musical equipment), and Depop (clothing resale).

Etsy (BSP:E2TS34) Headlines

No Headlines