ETSY - My Wife Loves Etsy: Buy What You Know High Margins And Cheap Valuation
2024-03-18 23:40:00 ET
Summary
- Etsy stock is undervalued, with many financial metrics 3x the level of 2019, despite a flat share quote vs. five years ago.
- The price-to-sales ratio is near record lows at the same time as FCF/earnings yields are near record highs.
- Technical indicators suggest a bottoming process is close to ending, where purchasing shares at a lower price could improve future investment performance.
- My trading/investing plan is to buy this leading online retailer on price weakness in the coming weeks.
This is the third article in a series, where my wife's favorite pursuits are highlighted as stock buys. I am looking for inexpensive company valuations, on top of strong everyday consumer trends. The first effort discussed the crafting-demand angle for Dollar Tree ( DLTR ) in September here . My second suggestion was the leading perfume and make-up company Estée Lauder ( EL ), written in December here . Both have performed admirably, with Dollar Tree initially rising better than +40% in the months after my article was posted....
My Wife Loves Etsy: Buy What You Know, High Margins And Cheap Valuation