ETSY - Etsy's Strategic Layoffs Signal Short-Term Struggles with Hope for Future GMS Growth Analysts Say | Benzinga
Wednesday, Etsy Inc (NASDAQ: ETSY) announced to lay off roughly 11% of its marketplace workforce as the e-commerce site grapples with a slowdown in consumer spending and increased competition from competitors like Shein and Temu.
Etsy expects to incur approximately $25 million to $30 million in charges, primarily in the fourth quarter of 2023.
Wedbush's analysis suggests that the recent announcement about reducing the workforce indicates the company's anticipation of limited improvement in its topline performance for 2024.
This decision is viewed as a prudent measure by Wedbush, considering the company's constrained visibility regarding when demand trends might shift. Particularly concerning are the competitive pressures from Chinese online retailers aggressively vying for market share, escalating ...