Etsy (ETSY) Drops 12.8% on Chairman, CEO Stepdown

We recently published 10 Stocks Plunging Fast; 5 Now at All-Time Lows. Etsy Inc. (NYSE:ETSY) is one of the worst-performing stocks on Wednesday.

Shares of online marketplace Etsy Inc. (NYSE:ETSY) fell by 12.80 percent on Wednesday to close at $65.21 apiece despite an earnings blowout in the third quarter of the year as investors sold off positions following the resignation of its chief executive officer (CEO) and other key leadership changes.

In an updated report, the company said that Josh Silverman is stepping down as its CEO effective December 31, 2025, without providing any reason. He will be replaced by incumbent President and Chief Growth Officer Kruti Patel Goyal effective January 1, 2026.

Meanwhile, Etsy Inc. (NYSE:ETSY) Chairman Fred Wilson will step down from his position, but will continue to serve on the board of directors.

“After over 8 years as Etsy’s CEO, I’ve decided that this is the right time for me to hand over the leadership baton to the next generation,” Silverman said, adding that Goyal is the right leader to guide the business forward.

On the same day, Etsy Inc. (NYSE:ETSY) announced a 31.6 percent jump in net income in the third quarter of the year, to $75.5 million from $57 million in the same period last year. This included an $800,000 non-cash foreign exchange gain as compared with a foreign exchange loss of $16.8 million in the same period last year.

Revenues inched up by 2.4 percent to $678 million from $662 million year-on-year.

For the fourth quarter of the year, the company is targeting to hit between $3.5 billion and $3.65 billion in gross merchandise sales.

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Disclosure: None. This article is originally published at Insider Monkey.