NEW YORK (TheStreet) -- Amazon.com(AMZN) - Get Report  launched  "Handmade" on Thursday, an online crafts marketplace that is expected to challenge Etsy (ETSY).

Handmade, Amazon.com's newest store, is a place where artisans can sell their handcrafted items directly to Amazon's millions of customers. All products sold on Handmade are factory-free and must be made by hand, according to a statement.

Handmade is launching with more than 5,000 sellers and more than 80,000 products, according to the Seattle Times.

"We have designed a custom shopping experience for customers looking for handmade items by bringing together many of the best artisans in the world, and they're adding thousands of items daily," Peter Faricy, VP for Amazon Marketplace, said in a statement.

Shares of the Seattle-based e-commerce company are down 0.95% to $536.77 in early morning trading. 

Separately, TheStreet Ratings team rates AMAZON.COM INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:

We rate AMAZON.COM INC (AMZN) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its increase in net income, robust revenue growth and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we find that the company's return on equity has been disappointing.

Highlights from the analysis by TheStreet Ratings Team goes as follows:

  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Internet & Catalog Retail industry. The net income increased by 173.0% when compared to the same quarter one year prior, rising from -$126.00 million to $92.00 million.
  • AMZN's revenue growth trails the industry average of 33.8%. Since the same quarter one year prior, revenues rose by 19.9%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • 41.10% is the gross profit margin for AMAZON.COM INC which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 0.39% trails the industry average.
  • AMAZON.COM INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, AMAZON.COM INC swung to a loss, reporting -$0.54 versus $0.58 in the prior year. This year, the market expects an improvement in earnings ($1.62 versus -$0.54).
  • The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Internet & Catalog Retail industry and the overall market, AMAZON.COM INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • You can view the full analysis from the report here: AMZN