Etsy upgraded to buy at BofA on durable growth, buyback potential

Deere shares rose 5.1% after reporting stronger-than-expected Q3 results, with EPS of $5.10 and net sales of $11B. CrowdStrike fell 2.8% following its CTO's departure. Advance Auto Parts dropped 15.9% due to lower normalized earnings. Etsy gained 3.9% after a BofA upgrade. Ultragenyx surged 11.1% on FDA approval for a gene therapy. Moderna fell 13% after a prior surge. Wolfspeed plunged 10.5% on wider-than-expected Q4 loss. Webull rose 13.8% on strong Q2 results.

Etsy (ETSY) stock rose 3.9% pre-market after BofA upgraded it to Buy with a $105 target, citing strong execution and conservative guidance. Rosenblatt also initiated coverage at Buy with a $95 target, while Goldman Sachs rated it Neutral with an $89 target. Etsy's Q2 2026 earnings beat estimates, and it announced a $2B share buyback and 12% workforce reduction.

Etsy said it will cut headcount to about 1,600, with roughly $35 million in restructuring charges, largely severance and benefits, expected to finish by end of Q3 2026, according to a shareholder letter and earnings call. The company closed Depop sale to eBay for about $1.4B cash, has $1.3B cash as of June 30, and approved a $2B buyback. Q3 marketplace sales guidance is $2.53B-$2.58B and adjusted EBITDA margin 29%-30%.

Etsy reported Q2 2026 results on its earnings call. Marketplace GMS rose to $2.6B (+7.5% YoY) and total revenue was $668M (+9.3%). Take rate increased to 25.9%. Adjusted EBITDA was $195M (29.2% margin). Management guided Q3 GMS to $2.53B-$2.58B and authorized a $2B share repurchase after the Depop sale.

Etsy Inc. said in an SEC filing it will lay off about 220 employees, about 12% of its workforce, mainly in product and engineering, as part of a restructuring plan to improve coordination and decision-making speed. CEO Kruti Patel Goyal said the cuts were not driven by AI. Etsy also received audit committee approval for a stock repurchase program up to an additional $2 billion.

Etsy (NYSE:ETSY) reported Q2 results and outlined capital returns and product initiatives. Management said trailing 12-month GMS per active buyer rose 2.8% to $124, with app GMS up 12.5% YoY and app at about 47% of total GMS. Revenue rose 6.2% YoY (continuing ops). Etsy repurchased about $250M shares, and expects Q3 marketplace GMS of $2.53B to $2.58B.