“Developers like Etsy are already seeing a boost in traffic as a result of deep linking”, said Kordestani.
The surge in Etsy’s share price might lead to a short squeeze as the stock is heavily shorted.
Etsy Inc (NASDAQ:ETSY) stock is skyrocketing Friday following a bullish mention by Google (NASDAQ:GOOG, NASDAQ:GOOGL). Bets on the shares closing above $ 20 on Friday made up forty five % of the choices quantity.
Speaking tends observers after its second-quarter account overdue on Thursday, Google Chief Business Officer Omid Kordestani trenchant to actually Brooklyn-based Etsy just like a a case in point of online agencies profitable more business venture simply because of Google’s recent migration to symbol important information and page in about individual gaming sites.
Etsy offers e-commerce services for jewelry, stationery, clothing, home goods, craft supplies, and vintage items. Google’s “deep links”, which redirect users to mobile applications when they click results from a Web search, could help Etsy lure more shoppers to its marketplace. The news has ETSY’s options pits in overdrive, with calls running at 46 times the usual intraday rate, and the equity’s at-the-money implied volatility fresh off a record high of 110.3%. According to the latest short interest data, 45.9% of the company’s float is shorted.
“It started with (the) Google commentary last night”, Wedbush analyst Gil Luria said, adding that short sellers closing their bets were driving the stock up further.