Etsy has erased its pandemic-era gains, but eBay has held up better

Etsy exploded in the early pandemic, fueled by skyrocketing demand for homemade face masks. The surge didn’t stop there — its niche in handmade decor, gifts, and crafts made it a lockdown favorite, sending shares soaring. eBay also thrived, as consumers sold old items and hunted for collectibles, though its lockdown-induced rise was steadier.

However, as spending habits have normalized (and soaring inflation took its toll), consumers have cut back on custom-made goodies — a blow to Etsy’s marketplace. eBay, meanwhile, has proved more resilient as demand stayed steady, especially with global supply chain issues driving the need for used car parts. Since January 2020, eBay’s stock is up about 85%.

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