Etsy's Trading Volume Drops 462% to $275 Million Ranking 366th in Market Activity

On May 1, 2025, Etsy's trading volume reached $275 million, a 46.2% decrease from the previous day, ranking 366th in the day's stock market activity. Etsy's stock price fell by 2.23%, marking the second consecutive day of decline, with a total decrease of 7.85% over the past two days.

Etsy, Inc. reported its first-quarter 2025 financial results, revealing a slight increase in revenue to $651.2 million, driven by on-site advertising and a new seller setup fee. However, the company experienced a 6.5% year-over-year decrease in gross merchandise sales (GMS), reaching $2.8 billion. Despite this, Etsy saw an increase in new and reactivated buyers, although active and habitual buyers declined. The company's adjusted EBITDA stood at $171.1 million, reflecting efficient expense management. Etsy's strategic focus on enhancing its app experience through AI and machine learning has shown positive results, with increased engagement and personalized user experiences. The company also announced the sale of Reverb, aiming to focus on its core marketplaces.

Etsy's first-quarter performance was in line with the outlook shared in February, with a take rate that exceeded expectations. The company's revenue growth was driven by on-site advertising and a new seller setup fee, despite a net loss of $52.1 million due to an impairment charge related to Reverb. Etsy remains cautiously optimistic, planning to navigate macroeconomic challenges while investing in long-term growth opportunities.