NEW YORK (TheStreet) -- Etsy's (ETSY) stock rating was lifted to "buy" from "neutral" at Roth Capital this morning after the company late yesterday posted stronger-than-expected revenue for the 2016 third quarter and gave an upbeat full-year revenue forecast.
The firm also hiked its price target to $15.75 from $15.25 on shares of the Brooklyn, NY-based online marketplace, according to TheFly.
Roth Capital analysts believe Etsy reported "another quarter of outperformance," adding that the company's inherent operating leverage and international opportunities are "too compelling."
Additionally, Etsy yesterday announced that its CFO Kristina Salen is leaving the company at the end of March.
The company plans to launch a search for its next CFO immediately, Etsy said in a statement.
Shares of Etsy were retreating 8.56% to $11.84 in late-morning trading on Wednesday.
About 2.44 million shares of Etsy have been traded so far today, above the company's average trading volume of roughly 1.73 million shares a day.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
The team rates Etsy as a Hold with a ratings score of C-. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, the team finds that the growth in the company's net income has been quite unimpressive.