Growth & Assumptions

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Market & Balance Sheet Data

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Cash Flow Projection

Year2027202820292030203120322033203420352036
Free Cash Flow342.44354.43366.83379.67392.96406.32420.13434.42449.19464.46
Terminal Value---------5,979.93
Cumulated PVRunning Sum308.5596.16864.391,114.491,347.691,564.921,767.281,955.792,131.394,401
* Scroll horizontally for more yearsAll figures in USD Millions

Valuation Breakdown

Enterprise Value (EV)$4,401
(+) Cash & Investments$1,619.92
(-) Total Debt$3,115.13
Equity Value$2,905.79
Shares Outstanding98.71
Fair Value Per Share$29.44
All figures in USD Millions

Calculated Fair Value

$29.44
Current Price$53.97
Margin of Safety-45.46%
Sell

ETSY (ETSY) DCF Valuation Analysis

Independent intrinsic value calculation based on latest financial reports.

Potentially Overvalued

Our ETSY DCF calculator utilizes a two-stage Discounted Cash Flow model to estimate the true value of ETSY stock. As of the most recent quarterly report (12/31/2025), ETSY generated $330,862,000 in Trailing Twelve Month (TTM) Free Cash Flow.

Key Valuation Metrics for ETSY

Forward P/E
9.11
Price to Book
0.00
Margin of Safety
-45.5%
Intrinsic Value
$29.44

By discounting ETSY's future cash flows using an expected return of 11%, we can determine if the stock is currently trading at a margin of safety. A negative margin of safety suggests that market expectations may be too high relative to the company's historical cash flow productivity.

Final Verdict

For ETSY to be considered a fair investment at current levels, it would need to sustain a cash flow growth rate of approximately 3.50% for the next five years. This valuation model accounts for ETSY's current cash position of $1,619,923,968 and total debt of $3,115,133,952. Currently trading at a premium to its intrinsic value, investors should carefully consider the growth assumptions required to justify the current price.

Why use DCF for ETSY?

Discounted Cash Flow is widely considered the most accurate method for valuing mature companies like ETSY. Using our Free DCF Calculator, you can customize every assumption in this model to see how it affects the intrinsic value.

Based on Owner Earnings (FCF)
Includes Balance Sheet adjustments
Customizable growth assumptions

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