Etsy, Inc. ETSY is scheduled to report fourth-quarter 2019 results on Feb 26.For fourth-quarter 2019, the Zacks Consensus Estimate for sales is currently pegged at $264.89 million, indicating an improvement of 32.4% from the prior-year quarter.Further, the Zacks Consensus Estimate for earnings stands at 17 cents per share, reflecting a decline of 46.9% from the year-ago reported figure.The company surpassed the Zacks Consensus Estimate in two of the trailing four quarters, while matching twice. It has a trailing-four quarter positive earnings surprise of 18.67%, on average.Etsy, Inc. Price and EPS Surprise Etsy, Inc. price-eps-surprise | Etsy, Inc. QuoteFactors at PlayStrong efforts toward enhancing product offerings in order to deliver enhanced customer experience and solid execution of key growth initiatives — search and discovery, customer liability, marketing, seller tools and services, are expected to have benefited the company in the fourth quarter.Moreover, the company’s two-sided marketplace and expanding collection of unique items are likely to get reflected in the fourth-quarter results.Additionally, Etsy capitalizes on human connections, which is likely to have strengthened buyer engagement on its platform during the to-be-reported quarter.Further, the company’ search and discovery platform remained the key catalyst. Strengthening search capabilities and upgraded context specific search ranking algorithms are anticipated to have delivered enhanced shopping experience in the quarter under review. This, in turn, is expected to have contributed the fourth-quarter performance.Additionally, the company’s improving mobile app is expected to have aided it in gaining traction across customers in the fourth quarter.Moreover, Etsy’s increasing strategic investments, seller shipping promotions, performance marketing budget and strengthening customer services are anticipated to get reflected in the fourth-quarter performance.Further, the company’s strengthening tools designed for sellers are likely to have expanded sellers base on its platform during the to-be-reported quarter. The introduction of variation photos, which helps buyers to find right item according to their preference, is expected to have benefited the conversion rate of sellers during the fourth quarter.However, increasing cloud spending is likely to have affected the fourth-quarter results. Further, the company’s creative campaigns are expected to have accelerated marketing expenses in the quarter under review.What Our Model SaysOur proven model doesn’t conclusively predict an earnings beat for Etsy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.Etsy has an Earnings ESP of -17.04% and a Zacks Rank #2.Stocks to ConsiderHere are a few stocks that you may consider, as our proven model shows that these have the right combination of elements to post an earnings beat this quarter.Benefitfocus, Inc BNFT has an Earnings ESP of +4.76% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.Guidewire Software, Inc. GWRE has an Earnings ESP of +15.39% and a Zacks Rank #3.Baidu, Inc. BIDU has an Earnings ESP of +38.81% and a Zacks Rank #3.More Stock News: This Is Bigger than the iPhone!It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.Click here for the 6 trades >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Baidu, Inc. (BIDU): Free Stock Analysis Report Guidewire Software, Inc. (GWRE): Free Stock Analysis Report Etsy, Inc. (ETSY): Free Stock Analysis Report Benefitfocus, Inc. (BNFT): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research