ETSY vs WIX

For growth investors, Wix.

com Ltd. (WIX) is the stronger pick with 13. 2% revenue growth year-over-year, versus 2. 7% for Etsy, Inc. (ETSY). Etsy, Inc. (ETSY) offers the better valuation at 46. 7x trailing P/E (18. 8x forward), making it the more compelling value choice. Analysts rate Etsy, Inc. (ETSY) a "Buy" — based on 45 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Etsy, Inc.

(ETSY) is the cheapest at 46. 7x versus Wix. com Ltd. at 85. 0x. On forward P/E, Wix. com Ltd. is actually cheaper at 12. 5x — notably different from the trailing picture, reflecting expected earnings growth.

Over the past 5 years, Etsy, Inc.

(ETSY) delivered a total return of -58. 8%, compared to -73. 1% for Wix. com Ltd. (WIX). Over 10 years, the gap is even starker: ETSY returned +685. 6% versus WIX's +192. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Wix.

com Ltd. (WIX) is the lower-risk stock at 0. 94β versus Etsy, Inc. 's 1. 22β — meaning ETSY is approximately 29% more volatile than WIX relative to the S&P 500.

By revenue growth (latest reported year), Wix.

com Ltd. (WIX) is pulling ahead at 13. 2% versus 2. 7% for Etsy, Inc. (ETSY). On earnings-per-share growth, the picture is similar: Etsy, Inc. grew EPS -40. 9% year-over-year, compared to -62. 7% for Wix. com Ltd.. Over a 3-year CAGR, WIX leads at 12. 8% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Etsy, Inc.

(ETSY) is the more profitable company, earning 5. 7% net margin versus 2. 5% for Wix. com Ltd. — meaning it keeps 5. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ETSY leads at 12. 8% versus 0. 1% for WIX. At the gross margin level — before operating expenses — ETSY leads at 71. 6%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Wix.

com Ltd. (WIX) trades at 12. 5x forward P/E versus 18. 8x for Etsy, Inc. — 6. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for WIX: 81. 7% to $135. 92.

None of the stocks in this comparison currently pay a material dividend.

All are effectively zero-yield and should be held for capital appreciation rather than income.

For long-horizon retirement investors, Etsy, Inc.

(ETSY) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 1. 22), +685. 6% 10Y return). Both have compounded well over 10 years (ETSY: +685. 6%, WIX: +192. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (ETSY (Consumer Cyclical) and WIX (Technology)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.