08:20 AM EDT, 05/02/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We cut our 12-month target to $66 from $81, calculated using an EV/EBITDA multiple of 13x our 2024 adj-EBITDA estimate of $786M (+4% Y/Y). We cut our 2024 adj-EPS to $4.71 from $4.96 and 2025's to $5.20 from $5.53. Q1 adj-EBITDA of $168M (-1% Y/Y) was in line with consensus. However, gross merchandise sales (GMS) missed expectations by falling 3.7% Y/Y to $3.0 billion. This was despite a significant increase in marketing, as ETSY ( ETSY ) advertised its new Gift Mode offering during this year's Super Bowl. ETSY ( ETSY ) expects a similar decline in GMS in Q2 and only a modest acceleration in the second half of the year. ETSY ( ETSY ) continues to feel pressure from the heavy marketing spend of its Chinese competitors (e.g., Temu). The company is also losing market share to larger retailers like Amazon and Walmart, both of which have a broader offering (especially on everyday essentials), offer more value, and have faster shipping speeds. ETSY ( ETSY ) shares are being re-rated, as investors don't see ETSY ( ETSY ) as a growth stock at this point.