Etsy's Stock Has Crashed -- Buy the Dip?
Etsy (NASDAQ: ETSY), like many other businesses that were fueled by the pandemic, is facing difficult year-over-year comparisons amid a slowdown in growth as economies reopen. Add in rising interest rates and other macroeconomic headwinds, and investors have completely soured on high-growth tech companies. Obviously, growth in excess of 100% can't go on forever, but that doesn't mean it's time to completely write off these businesses.
With Etsy's stock down an eye-popping 64% in 2022, now is a fantastic time to scoop up some shares. Let's take a closer look.
While Etsy was posting fantastic growth prior to 2020, the pandemic completely supercharged its prospects. More consumers turned to the online marketplace as physical shopping faced major restrictions with shoppers looking not only for face masks but other items like bread makers as they took advantage of increased leisure time. Etsy's flexibility was on full display, causing revenue to jump more than 125% in four straight quarters starting with the second quarter of 2020.
Source Fool.com
