Etsy Shares Slump in First Taste of Public Market U-Turns
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Etsy Inc. got its first taste of the fickleness of the stock market after a disappointing maiden earnings report sent shares falling 18 percent.
The online marketplace for hand-crafted goods saw more than $420 million in market value wiped out as the shares declined to $17.20 at the close in New York. Earlier, they dipped below the $16 initial public offering price set on April 15. The strong U.S. dollar ate into revenue because the vast majority of gross merchandise sales are listed in the currency -- even if the seller is located abroad, Etsy said Tuesday after the market closed.