Here is Why ETSY has a Long Runway for Continued Top-Line Growth

Artisan Partners, an investment management company, released its “Artisan Mid Cap Fund” second quarter 2022 investor letter. A copy of the same can be downloaded here. In the second quarter, its Investor Class fund ARTMX returned -22.47%, Advisor Class fund APDMX posted a return of -22.43%, and Institutional Class fund APHMX returned -22.40%, compared to a return of -21.07% for the Russell Midcap Growth Index. In addition, please check the fund’s top five holdings to know its best picks in 2022.

Artisan Partners discussed stocks like Etsy, Inc. (NASDAQ:ETSY) in the second quarter 2022 investor letter. Headquartered in Brooklyn, New York, Etsy, Inc. (NASDAQ:ETSY) is an online marketplace. On September 27, 2022, Etsy, Inc. (NASDAQ:ETSY) stock closed at $96.73 per share. One-month return of Etsy, Inc. (NASDAQ:ETSY) was -8.56% and its shares lost 54.45% of their value over the last 52 weeks. Etsy, Inc. (NASDAQ:ETSY) has a market capitalization of $12.247 billion.

Here is what Artisan Partners specifically said about Etsy, Inc. (NASDAQ:ETSY) in its Q2 2022 investor letter:

“Etsy, Inc. (NASDAQ:ETSY) is the leading e-commerce marketplace for buyers and sellers of unique, hard-to-find products that are “handmade, vintage, or a craft supply.” We believe the company has a long runway for continued top-line growth given its large addressable market and distinct product assortment. In addition, we have been impressed with the operational progress this management team has made since taking the helm in 2017. We acknowledge e-commerce trends have been challenged as consumers shift toward in-person experiences post[1]pandemic, but over time we expect industry growth to return to the long-term trend. Shares have pulled back 75% since topping out in late 2021. Examining this opportunity through a longer-term lens, we initiated a GardenSM position during the quarter at an attractive discount to our PMV estimate.”

Etsy, Inc. (NASDAQ:ETSY) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 29 hedge fund portfolios held Etsy, Inc. (NASDAQ:ETSY) at the end of the second quarter which was 43 in the previous quarter.

We discussed Etsy, Inc. (NASDAQ:ETSY) in another article and shared the list of worst-performing S&P 500 stocks in 2022. In addition, please check out our hedge fund investor letters Q2 2022 page for more investor letters from hedge funds and other leading investors.

Disclosure: None. This article is originally published at Insider Monkey.