Etsy Inc (NASDAQ:ETSY) shares are booming as the company received a rating upgrade.
Monness Crespi Hardt & Co Inc has issued a new rating of the stock, changing it from a “neutral” to a “buy.” Additionally, analysts increased their price target on the novelty website from $13.00 to $17.00
The firm first rated ETSY back in October 2015 where it was a “sell.” Monness Crespi Hardt changed this rating up to a neutral the following month.
“The stock is trading at virtually par with where we initiated with a sell,” he said. “That said, over the course of 1H16, the mission communicated by Etsy began to come into fruition, and as we evaluate the next leg of the shares, we believe it is up.”
Company shares have rallied an incredible 64% YTD, well ahead of the market average of 5% for Nasdaq Composite. The analyst added that certain areas in the company — including its technology and international growth segments — could impress in the next few quarters.
Etsy has been on the rise over the last month and a half, thanks in part to the news that Mila Kunis and Ashton Kutcher bought their wedding rings on the site.
Additionally, the e-commerce retailer reported revenue of $85.3 million, beating the consensus estimate by $4.3 million.
Earnings tallied up to a loss of 6 cents per share, which was one cent per share less than the year-ago period.
ETSY stock is up 7.4% Wednesday.
