NEW YORK (TheStreet) -- Etsy (ETSY) plunged Monday after an analyst downgraded the stock to a sell and concerns surfaced the newly public company may face greater regulatory scrutiny over potential copyright and counterfeiting issues. Online real estate listings company Zillow (Z) soared with an upgrade ahead of its earnings. BlackBerry (BBRY) rose following a largely favorable review of its BlackBerry Leap.
Etsy plummeted 8.2% close at $20.85.
The e-commerce company that allows craftsmakers and artists sell their goods on its Web site to consumers took a substantial hit after Wedbush downgraded the company to sell from neutral, according to a Barron's report. In making that call, Wedbush cited concerns that Etsy may encounter more scrutiny by regulators over potential copyright infringements and counterfeiting of goods.
Additionally, according to Barron's, Etsy's initial public offering underwriters Morgan Stanley and Goldman Sachs initiated coverage on the company with the "equivalent of a hold rating." Morgan Stanley also set a $20 price target, the report noted.
Etsy launched a highly successful IPO on April 15, spiking 87.5% to close its first day of trading at $30 a share. Since then, however, its shares have fallen as low as $20.10.
Zillow surged 6.9% to end the session at $98.67 on a day when the broader markets declined.
The online real estate listing company received a boost after SunTrust Robinson Humphrey upgraded the company to a buy from neutral and raised its price target to $130 from $110 a share, according to an Investor's Business Daily report.
The analyst made these changes based on expectations Zillow faces "long-term opportunity" as a result of users' widespread shift to mobile to retrieve information and discover new things, as well as Zillow's dominant position in the real estate market, SunTrust said, according to the report.
BlackBerry soared 5.9% to close at $10.46.
On a day with relatively little news on the company, investors apparently liked reports released Monday regarding the company's BlackBerry Leap smartphone.
BlackBerry is poised to begin selling its BlackBerry Leap smartphone in India starting Tuesday in its BlackBerry stores, according to a report in Crackberry.com.
Additionally, a report in technology review publication Engadget had a few favorable things to say about the Leap, even though it would not recommend that users purchase the device. Some of the things Engadget noted in its report were the Leap's long battery life and high-quality camera.