Etsy Earnings: Weak Demand Environment Persists, but Long-Term Prospects Remain Intact; Shares Cheap

Etsy's revenue grew 1% in the first quarter as a 6.5% decline in gross merchandise sales, or GMS, was more than offset by expansion in the firm's take rate, which clocked in at 23.3% (up 170 basis points from the prior year). Adjusted EBITDA margin also improved 30 basis points to 26.3%.