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Is Etsy Stock a Buy?

TheMotleyFool

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Etsy's (NASDAQ: ETSY) stock has surged more than 700% over the past five years as its online marketplace for handmade goods has attracted artisans and shoppers. Etsy has defended its niche against Amazon (NASDAQ: AMZN) and other challengers, while consistently generating double-digit revenue and earnings growth.

However, Etsy's stock now trades at over 130 times forward earnings, and investors might be wondering if its growth still justifies that premium valuation. Let's dig deeper to find out.

Image source: Getty Images.

Source Fool.com

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