Etsy Inc. experienced a substantial surge in its share price during pre-market trading, climbing over 15% after reaching an agreement to divest its fashion marketplace, Depop. This strategic transaction, valued at approximately $1.2 billion in cash, will see Depop acquired by eBay. The news has sent ripples across the market, affecting numerous other stocks that showed significant movements both upward and downward in early trading.
On February 19, 2026, the digital marketplace Etsy (NASDAQ: ETSY) announced it had entered into a definitive agreement to sell Depop, its fashion resale platform, to eBay (NASDAQ: EBAY). This acquisition is valued at approximately $1.2 billion and will be settled entirely in cash. The announcement was met with a strong positive reaction from investors, as Etsy's shares immediately jumped by 15.5% to $50.86 in pre-market trading sessions.
The sale of Depop represents a strategic decision by Etsy to streamline its business operations and potentially focus on its core marketplace. Depop, known for its strong presence in the resale fashion market, especially among younger demographics, is expected to complement eBay's existing e-commerce offerings. This move is poised to strengthen eBay's position in the competitive online marketplace landscape, particularly in the ever-growing sector of second-hand goods.
Following this major corporate development, numerous other companies also saw their stock prices fluctuate considerably in pre-market trading. Among the notable gainers were Davis Commodities Ltd, Planet Image International Ltd, and Jiuzi Holdings Inc, which all recorded impressive increases. Similarly, Theriva Biologics Inc, Interactive Strength Inc, Remitly Global Inc, Herbalife Ltd, and DoorDash Inc also posted significant advances, often driven by positive financial results, strategic acquisitions, or other market-moving news.
Conversely, several companies experienced declines in their stock values. Bluejay Diagnostics Inc, Carvana Co, Scworx Corp, RenX Enterprises Corp, Cardio Diagnostics Holdings Inc, Signing Day Sports Inc, B2Gold Corp, Cheesecake Factory Inc, Rackspace Technology Inc, and Aegon Ltd were among the losers in pre-market trading. These movements were attributed to factors such as disappointing quarterly results, previous day's significant gains leading to a correction, or other company-specific news that influenced investor sentiment.
The market's reaction to Etsy's announcement highlights the dynamic nature of stock trading, where significant corporate actions can lead to widespread impacts across various sectors. The shift in ownership of Depop reflects ongoing consolidation and strategic realignments within the e-commerce industry, as companies seek to optimize their portfolios and capitalize on evolving consumer trends.