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Oct 29, 2025 12:40 PM

Etsy Stock Tumbles As CEO Exit And Weak Holiday Outlook Rattle Investors

Etsy, Inc. (NYSE:ETSY) shares slipped Wednesday as strong earnings were overshadowed by weaker Gross Merchandise Sales (GMS) trends and a CEO transition that clouded near-term momentum.

The company reported third-quarter earnings per share of 63 cents, beating the analyst consensus estimate of 53 cents.

Quarterly sales of $678 million (+6.1% year over year) outpaced the Street view of $655.304 million.

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On an as-reported basis, including Reverb’s third quarter 2024 revenue of $23.2 million, consolidated revenue was up 2.4% year-over-year.

Etsy completed the sale of Reverb on June 2, 2025.

“Etsy marketplace GMS improved sequentially, reflecting growing traction in our customer-centric priorities, from showing up where shoppers discover, to enhancing AI-powered matching, retaining and rewarding our most valuable customers, and further amplifying the human connection ...