News about Etsy

Etsy (ETSY) reported quarterly earnings of $1.55 per share, beating the Zacks Consensus Estimate of $1.34 and up from $0.63 a year earlier, an earnings surprise of +15.67%. Revenue for the quarter ended September 2026 was $692.47 million, 3.51% above the consensus estimate and up from $678.03 million a year ago. The shares have gained about 58.1% year to date, versus a 12.8% gain for the S&P 500. Etsy carries a Zacks Rank #3 (Hold), which implies the stock is expected to perform in line with the market in the near term, and consensus calls for $1.91 per share on $880.93 million in revenue next quarter.

Etsy said it will no longer allow merchants to sell AI-generated recipes and patterns, such as crochet or sewing patterns sold as digital downloads, as part of firmer rules on AI, citing concerns that AI is eroding buyer and seller trust. Sellers must show an actual item made from the instructions rather than an AI-generated or simulated result, and include at least one unedited photo of the real item. Etsy is also barring bot-generated listings with no human involvement. AI-generated art remains allowed if sellers play a clear role and are transparent about the process, but they must disclose AI use and cannot present such work as handmade.