Etsy marketplace gross merchandise sales in fiscal 2026
Short Answer
Both the model and the market overwhelmingly agree that Etsy marketplace gross merchandise sales in fiscal 2026 will be Above $10.7 billion, with only minor residual uncertainty.
1. Market Behavior & Drivers
This market has experienced a sharp, multi-day upward trend, moving from a 1.0% probability on August 18 to its current price of 37.0%. The entire move was concentrated in two distinct spikes. The first was a 16-percentage-point jump to 17.0% on August 18, which coincided with The Goldman Sachs Group upgrading Etsy's stock to "hold". The second spike was a 20-point move to 37.0% on August 19. Notably, the provided context offers no specific catalyst for this second move and indicates that research found no evidence of such a price spike.
Total volume stands at 800 contracts. However, the sample data shows zero volume on the specific dates of the major price repricings. This suggests the moves may have occurred on thin liquidity, potentially indicating a lack of broad market conviction behind the new price levels. The current price of 37.0% acts as immediate resistance. Former price levels at 17.0% and 1.0% now serve as potential support. The price action implies a rapid and significant shift in sentiment, with the market now pricing a 37% chance of Etsy's 2026 GMS exceeding the contract's specified threshold, up from virtually zero just days prior. This sentiment shift appears driven by a specific analyst action, though the follow-on move lacks a clear external driver according to the available information.
- Etsy's 2024 GMS of $10.9 billion makes GMS above $10.7 billion highly probable.
- Management projects mid-single-digit GMS growth for 2026 from that $10.9 billion base.
Who Wins and Why
| Outcome | Market | Model | Why |
|---|---|---|---|
| Above $11 billion | 60.0% | 48.7% | Market higher by 11.3pp |
| Above $10.85 billion | 72.0% | 48.7% | Market higher by 23.3pp |
| Above $11.3 billion | 6.0% | 20.0% | Model higher by 14.0pp |
| Above $11.15 billion | 25.0% | 20.0% | Market higher by 5.0pp |
| Above $10.7 billion | 97.0% | 99.0% | Model higher by 2.0pp |
Current Context
Etsy reported marketplace gross merchandise sales (GMS) of $2.6 billion for the second quarter of 2026, marking a 7.5% year-over-year increase [1][2][3]. For the third quarter of 2026, Etsy anticipates marketplace GMS to range between $2.53 billion and $2.58 billion, reflecting 4–6% year-over-year growth [1][2][3]. The company upgraded its full-year 2026 outlook, now projecting mid-single-digit growth for Etsy marketplace GMS [1][2][3].
Key financial performance indicators supported these results. The revenue take rate for Q2 2026 was 25.9% [1][2][3]. Etsy expects its adjusted EBITDA margin for the full year 2026 to be between 29% and 30% [1][2][3]. Operationally, the company's restructuring efforts are scheduled for substantial completion by the close of Q3 2026 [3]. Management noted a strategic focus on recommerce and app momentum to drive continued platform growth [3][4].
2. Price Chart
Historical Price (Probability)
Outcome probability
Date
3. Significant Price Movements
Notable price changes detected in the chart, along with research into what caused each movement.
Outcome: Above $11 billion
📈 August 19, 2026: 20.0pp spike
Price increased from 17.0% to 37.0%
What happened: Research indicates there is no evidence of a 20.0 percentage point spike in the prediction market for Etsy's fiscal 2026 marketplace gross merchandise sales exceeding $11 billion on August 19, 2026 [1][2][3]. Etsy's current projections for fiscal 2026 indicate mid-single-digit GMS growth, an upward revision from prior expectations of declines [4][5][6]. Without evidence of the specified price movement occurring, no primary driver can be identified. Consequently, social media activity is irrelevant to this uncorroborated market event.
Outcome: Above $10.7 billion
📈 August 18, 2026: 82.0pp spike
Price increased from 1.0% to 83.0%
What happened: There is no evidence of an 82.0 percentage point spike in the prediction market price on August 18, 2026, nor a specific social media catalyst identified for such a movement [2]. Despite the lack of evidence for the reported spike, The Goldman Sachs Group upgraded Etsy stock to "hold" on August 18, 2026, a traditional news event that could typically influence market sentiment [3]. Consequently, social media was irrelevant to this reported prediction market price movement, as there is no evidence the movement occurred or was influenced by social media activity [2].
Sources (6)
- 1Etsy (NYSE: ETSY): Can Marketplace Momentum Strengthen?kalkinemedia.com
- 2Etsy (ETSY) Back In Focus Following Mixed Earnings And A Full Valuation View - Simply Wall St Newssimplywall.st
- 3The Goldman Sachs Group Upgrades Etsy (NYSE:ETSY) to “Hold” - Daily Politicaldailypolitical.com
- 4Q226 Shareholder Letterinvestors.etsy.com
- 5Q226 Shareholder Lettersec.gov
- 6Etsy (ETSY) Q2 2026 Earnings Call Transcript | The Motley Foolfool.com
4. Market Data
Contract Snapshot
This market resolves YES if Etsy's marketplace gross merchandise sales in fiscal 2026 are reported as above $11 billion, and NO if they are $11 billion or below. Trading for this contract ends on February 17, 4:00 PM EST, with the maximum payout date set for May 18, 2027. There are no special settlement conditions beyond the specified numerical threshold for fiscal 2026 gross merchandise sales.
Available Contracts
Market options and current pricing
| Outcome bucket | Yes (price) | No (price) | Last trade probability |
|---|---|---|---|
| Above $10.7 billion | $0.99 | $0.06 | 97% |
| Above $10.85 billion | $0.80 | $0.28 | 72% |
| Above $11 billion | $0.60 | $0.48 | 60% |
| Above $11.15 billion | $0.25 | $0.83 | 25% |
| Above $11.3 billion | $0.13 | $0.95 | 6% |
Market Discussion
As of August 2026, Etsy expects its core marketplace gross merchandise sales (GMS) for fiscal 2026 to grow in the mid-single-digit range, reflecting an improved outlook compared to prior periods [1][2][3][4]. While quarterly figures are available, including Q2 2026 GMS of $2.60 billion and Q3 2026 GMS projected between $2.53 billion and $2.58 billion, the company has not disclosed a specific full-year fiscal 2026 marketplace GMS dollar amount [3][4].
5. Trust Index
Order book is critically thin.
Primary risk· Trade quality
How it adds up
Integrity80% of score72Good
Info fairness is low (40), but Integrity averages all three scores, so the other two pull it up. Only a critically low score would cap the total.
Trade quality20% of score26Avoid
Includes the cost to trade: a $100 order can't be filled here because the order book is too thin.
Trust score63Caution
Weighted blend with hard caps — a critically weak safety pillar, or a severe trading anomaly, caps the total regardless of the rest. Full methodology · About the Trust Index
Trust profile
Integrity4 screens run · 3 don't apply · 3 awaiting data
6. How do Wall Street analyst projections for Etsy's fiscal 2026 GMS compare to the company's official guidance?
| Etsy 2026 GMS Growth Guidance | Mid-single-digit range (as of August 5, 2026 earnings report) [1][2][3][4] |
|---|---|
| Wall Street 2026 GMS Growth Projection | Low-to-mid single-digit growth [5][6][7] |
| Analyst Sentiment for Etsy Stock | Cautious, with a consensus 'Hold' rating [5][6][7] |
Etsy projects mid-single-digit GMS growth for fiscal year 2026. The company's official guidance, released during its second quarter 2026 earnings report on August 5, 2026, projects full-year 2026 Etsy marketplace Gross Merchandise Sales (GMS) growth to be in the mid-single-digit range. This outlook reflects an upward revision from earlier company expectations [1][2][3][4].
Wall Street analysts largely concur with Etsy's GMS growth outlook. Analyst projections for 2026 GMS generally anticipate low-to-mid single-digit growth, aligning with the company's guidance. While these growth figures are noted, specific dollar-denominated consensus figures for 2026 GMS are less frequently emphasized by analysts compared to revenue or earnings per share (EPS) targets [5][6][7]. Current analyst sentiment regarding Etsy stock remains cautious, as evidenced by a consensus 'Hold' rating [5][6][7].
Sources (7)
- 1August 5, 2026 - EX-99.1 - 8-K: Current report | Etsy, Inc. (ETSY)investors.etsy.com
- 2Q226 Shareholder Lettersec.gov
- 3Q226 Shareholder Letterinvestors.etsy.com
- 4Etsy (ETSY) Q2 2026 Earnings Call Transcript | The Motley Foolfool.com
- 5Etsy, Inc. (ETSY) Estimates & Forecasts — EPS, Revenue & Price Targets (2026) | VCP Scannervcpscanner.com
- 6Etsy, Inc. (ETSY) Stock Forecast & Analyst Price Targetsstockanalysis.com
- 7https://finance.biggo.com/news/y9HHe5wBOIb5XxavXc-5finance.biggo.com
7. How are broader macroeconomic trends, specifically projections for consumer discretionary spending in H2 2026, likely to influence Etsy's GMS performance?
| H2 2026 U.S. Consumer Spending Growth Projection | 1.0% to 1.5% [1][2][3][4][5] |
|---|---|
| H2 2026 Discretionary Demand Growth Characterization | Flat to low-single-digit growth [web] [1] |
| Etsy Full-Year 2026 Marketplace GMS Growth Expectation | Mid-single-digit range [6][7][8][9][10] |
Broader macroeconomic trends suggest only modest growth for consumer discretionary spending. Etsy’s Gross Merchandise Sales (GMS) in H2 2026 is expected to receive only modest support from consumer discretionary spending, rather than significant growth, as macroeconomic forecasts predict a deceleration in overall U.S. consumer spending [1][2][3][4][5]. Projections for H2 2026 indicate U.S. consumer spending growth of 1.0% to 1.5%, influenced by factors such as fading tax refund effects, elevated inflation, and higher living costs. Discretionary demand is anticipated to be flat to low-single-digit, with holiday gifting offering potential upside, balanced against the downside risks of sticky inflation and cautious spending [3].
Despite macro challenges, Etsy management maintains a positive GMS outlook. As of August 2026, Etsy management reported no discernible impact from macroeconomic pressures on its Q2 2026 performance, noting growth across all household income segments and stronger performance among high-end buyers [9][10]. Based on this, Etsy’s leadership now expects full-year 2026 marketplace GMS growth to be in the mid-single-digit range, suggesting stronger second-half momentum than previously anticipated [7]. Etsy’s GMS should benefit from a still-resilient consumer base and holiday demand, which is considered the primary upside driver, although macro conditions temper overall upside potential [3]. Additionally, Etsy’s product enhancements, including improved discovery, personalization, and app performance, are expected to help counteract softer macro demand [7].
Sources (10)
- 1State of the US consumer | Deloitte Insightsdeloitte.com
- 2Economic Forecast for the US Economyconference-board.org
- 3The K-shaped consumer looks different this time | NRFnrf.com
- 4Sector Market Perspectives: Q3 2026ssga.com
- 5Goldman Sachs Forecasts U.S. Consumer Spending Growth to Slow to 1–1.5% in H2 2026 | Gate Newsgate.com
- 6August 5, 2026 - EX-99.1 - 8-K: Current reportinvestors.etsy.com
- 7Q226 Shareholder Lettersec.gov
- 8Q226 Shareholder Letterinvestors.etsy.com
- 9Etsy (ETSY) Q2 2026 Earnings Call Transcript | The Motley Foolfool.com
- 10Etsy Inc (ETSY) (Q2 2026) Earnings Call Highlights: GMS...finance.yahoo.com
8. How does Etsy's seller fee structure for 2026 compare with that of key competitor Amazon Handmade, and what does recent seller sentiment indicate about platform churn?
| Etsy transaction fee | 6.5% [1] |
|---|---|
| Amazon Handmade referral fee | 15% [1] |
| Etsy total take rates | 12% to over 25% [1] |
Etsy's 2026 fee structure is a stacked model, often exceeding Amazon Handmade's flat rate. This includes a $0.20 listing fee, a 6.5% transaction fee on the total order value, and payment processing fees typically around 3% plus $0.25. These combined charges result in total take rates frequently ranging from 12% to over 25% [1]. In contrast, Amazon Handmade implements a straightforward 15% referral fee per sale, without additional listing, payment processing, or monthly professional subscription fees for verified artisans [1]. Generally, Amazon's flat fee proves more cost-effective for sellers of higher-priced items, whereas Etsy's structure may be more economical for lower-priced, low-volume goods [1].
Significant seller frustration on Etsy is fueling platform migration and churn. This widespread dissatisfaction is largely driven by concerns over the proliferation of AI-generated content and templated "slop," which sellers believe unfairly competes with genuine handmade items [2][3][4]. This trend of sellers migrating to competitors that emphasize human-made verification is further compounded by inconsistent policy enforcement, declining sales, mandatory offsite advertising fees, and perceived policy "whiplash" coupled with poor communication [2][3][5][4].
Sources (5)
- 1Etsy vs Amazon Handmade Fees 2026: Which Is Better for Sellers? | MakersMathmakersmath.com
- 2Etsy Calls Itself "Human-Centered." Its Sellers Have a More Complicated Story to Tell.ecomcrew.com
- 3Why Etsy Sellers Are Leaving: Fees, Buyers, and a Shrinking Market << Arts & Crafts:: WonderHowToarts-crafts.wonderhowto.com
- 4Etsy (ETSY) Faces Rising Seller Backlash Over AI Content Policies - Simply Wall St Newssimplywall.st
- 5Etsy Is In Its Flop Era, and Sellers Are Fleeing – DNYUZdnyuz.com
9. What is the historical trend of Etsy's quarterly marketplace GMS from fiscal year 2024 through the latest reported quarter of 2026?
| Etsy Marketplace GMS (FY 2024) | $10.9 billion [1] |
|---|---|
| Etsy Marketplace GMS (Q1 2026) | $2.5 billion [2][3][4][5] |
| Etsy Marketplace GMS (Q2 2026) | $2.6 billion [2][3][4][5] |
Etsy's marketplace faced GMS headwinds totaling $10.9 billion in 2024. In fiscal year 2024, Etsy's marketplace generated a total Gross Merchandise Sales (GMS) of $10.9 billion [1]. The company experienced significant GMS headwinds during this period, with its consolidated GMS for the fourth quarter of 2024 reported at $3.7 billion [1][6]. Specific individual quarterly marketplace GMS figures for the first, second, or third quarters of fiscal year 2024 were not provided. No specific quarterly marketplace GMS figures were available for any quarter in fiscal year 2025.
Etsy's GMS showed sequential improvement through the first half of 2026. Etsy's marketplace GMS demonstrated sequential improvement throughout 2026, with the first quarter reporting $2.5 billion and the second quarter reaching $2.6 billion [2][3][4][5]. For the full year 2026, Etsy projects mid-single-digit GMS growth for its marketplace, an increase from its previous forecast of slight growth [2][4][5]. Financial reporting has been adjusted due to the sales of Reverb in June 2025 and Depop in July 2026. Consequently, Etsy now presents its go-forward results using 'Etsy marketplace standalone' figures to facilitate meaningful year-over-year comparisons [3][7].
Sources (7)
- 1etsy-20241231sec.gov
- 2August 5, 2026 - EX-99.1 - 8-K: Current report | Etsy, Inc. (ETSY)investors.etsy.com
- 3Q126 Shareholder Lettersec.gov
- 4Q226 Shareholder Lettersec.gov
- 5Etsy, Inc. Reports Fourth Quarter and Full Year 2025 Resultsinvestors.etsy.com
- 6Fourthinvestors.etsy.com
- 7Financial Informationinvestors.etsy.com
10. What impact are Etsy's key 2026 growth initiatives, such as its recommerce focus and mobile app momentum, expected to have on active buyer metrics in H2 2026?
| Active Buyers (Q2 2026) | 87 million [1] |
|---|---|
| Gross Buyer Additions Acceleration | 7.1% [1] |
| Mobile App GMS Growth (Q2 2026) | 12.5% year-over-year [1] |
Etsy's active buyer metrics improved heading into the second half of 2026. In Q2 2026, the company reported 87 million active buyers, marking a sequential increase of 350,000, with gross buyer additions accelerating by 7.1%. For the first time since 2023, both habitual and repeat buyer cohorts demonstrated slight sequential growth during Q2 2026, indicating an overall improvement in marketplace health [1].
The mobile app significantly drove Etsy's Gross Merchandise Sales performance. Mobile app GMS growth accelerated to 12.5% year-over-year in Q2 2026, contributing approximately 47% of total GMS. Etsy anticipates sustaining this GMS growth momentum for H2 2026, supported by strategic initiatives focused on enhanced discovery, personalization, and continued mobile app engagement [1].
11. What Could Change the Odds
Key Catalysts
Etsy management projects mid-single-digit year-over-year GMS growth for the Etsy marketplace for full-year 2026, an inflection from high-single-digit declines in early 2025 [1][2][3]. Q3 2026 GMS for the Etsy marketplace is guided in the range of $2.53 billion to $2.58 billion, representing 4-6% year-over-year growth [1][2][3]. Bullish catalysts include improved GMS momentum driven by product/listing ad segmentation, SEO strength, AI-driven personalization, and a new $2 billion share repurchase program [1][4][5].
Conversely, bearish risks include execution uncertainty regarding the August 2026 restructuring, which involves a 12% workforce reduction [4][5]. The company expects this restructuring plan to be substantially complete by the end of Q3 2026 [3]. Additional concerns involve macroeconomic pressure on consumer spending and volatility associated with divesting Depop and Reverb [4][5].
Key Dates & Catalysts
- Expiration: May 18, 2027
- Closes: May 18, 2027
Sources (5)
- 1August 5, 2026 - EX-99.1 - 8-K: Current report | Etsy, Inc. (ETSY)investors.etsy.com
- 2Q226 Shareholder Letterinvestors.etsy.com
- 3Etsy (ETSY) Q2 2026 Earnings Call Transcript | The Motley Foolfool.com
- 4ETSY Q2 Earnings Call Lifts Outlook and Refocuses Teamsfinance.yahoo.com
- 5How Etsy’s Earnings Beat, Job Cuts, and $2 Billion Buyback Plan Will Impact Etsy (ETSY) Investors - Simply Wall St Newssimplywall.st
