1 FORMER S&P 500 STOCK DOWN 76% THAT HISTORY SUGGESTS BUYING AT A ONCE-IN-A-DECADE VALUATION
https://s.yimg.com/ny/api/res/1.2/mGBjmejt4uV.bzflt7uFCA--/YXBwaWQ9aGlnaGxhbmRlcjt3PTEyMDA7aD04MDA-/https://media.zenfs.com/en/motleyfool.com/c5ffe9851bf345cf45e955ba44ac6f81
✍️ Etsy, a former S&P 500 constituent, has been removed from the index and its stock has dropped significantly. However, the company's business remains resilient, and its low valuation suggests it may be a good buy.
👉 Etsy was removed from the S&P 500 due to its small-cap status 👉 The company's stock has dropped 80% and then 76% from its all-time high 👉 Etsy's business remains resilient, generating substantial free cash flow 👉 The company has been trading at a cheap valuation for three years 👉 Management has opportunistically bought back stock, reducing the number of outstanding shares by 21% 👉 Research suggests that stocks removed from the S&P 500 often outperform the market over the next five years
-- #RobArnott #ForrestHenslee #JonQuast #business
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