Etsy Options Strategy: $49 Put Contract Shows Significant Appeal
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 22 2026
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Source: NASDAQ.COM
- Put Contract Appeal: The current bid for the $49 put contract is $0.50, allowing investors to commit to purchasing shares at $49, resulting in a cost basis of $48.50, which represents a 23% discount to the current share price of $63.37, making it an attractive option.
- Yield Potential Analysis: Should the put contract expire worthless, it would yield a 1.02% return on cash commitment, or an annualized 8.66%, highlighting the YieldBoost potential of this strategy, appealing to investors looking to lower their purchase costs.
- Call Contract Returns: The current bid for the $64 call contract is $3.00; if investors buy shares at $63.37 and sell this call, they could achieve a total return of 5.73% if the stock is called away at expiration, showcasing the attractiveness of this strategy.
- Risk Assessment: The $64 call contract has a 48% chance of expiring worthless, allowing investors to retain both their shares and the premium collected, with an annualized return potential of 40.18%, providing an additional income opportunity for investors.
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Analyst Views on ETSY
Wall Street analysts forecast ETSY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ETSY is 67.71 USD with a low forecast of 52.00 USD and a high forecast of 80.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
26 Analyst Rating
6 Buy
18 Hold
2 Sell
Hold
Current: 57.190
Low
52.00
Averages
67.71
High
80.00
Current: 57.190
Low
52.00
Averages
67.71
High
80.00
About ETSY
Etsy, Inc. operates two-sided online marketplaces that connect buyers and sellers around the world. The Company's primary marketplace, Etsy.com, is the global destination for goods made by independent sellers. In addition to its core Etsy marketplace, its House of Brand consists of Depop Limited (Depop), which is its fashion resale marketplace. Each marketplace primarily operates independently, while benefiting from shared expertise in product development, marketing, technology, and customer support. The Company's top six retail categories on the Etsy marketplace include homewares and home furnishings, jewelry and personal accessories, apparel, craft supplies, paper and party supplies, and toys and games.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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