Wayfair (NYSE:W) Trading Up 6.9% – Time to Buy?

Wayfair Inc. (NYSE:W)’s stock price rose 6.9% during trading on Wednesday . The company traded as high as $91.13 and last traded at $90.7290. Approximately 455,969 shares traded hands during trading, a decline of 88% from the average session volume of 3,844,083 shares. The stock had previously closed at $84.85.

More Wayfair News

Here are the key news stories impacting Wayfair this week:

• Positive Sentiment: Multiple articles spotlight Wayfair’s 4-day flash sale and deep discounts on bedding, furniture, decor, storage, and outdoor products, which may be boosting shopper interest and supporting revenue growth. Article Title
• Positive Sentiment: Coverage of Wayfair’s “Prime Day” style promotion and fast delivery timing suggests the company is competing effectively on price and convenience, which can help improve conversion rates. Article Title
• Positive Sentiment: Reports describing Wayfair’s stock rebound and a “major furniture shift” may be helping investor sentiment by suggesting improving demand trends in home goods. Article Title
• Neutral Sentiment: Consumer lifestyle pieces featuring discounted products such as lanterns, grills, and sleeper sofas add visibility to Wayfair’s marketplace, but they do not materially change the investment thesis on their own. Article Title

Analyst Ratings Changes

W has been the subject of a number of research reports. Needham & Company LLC dropped their price objective on Wayfair from $125.00 to $83.00 and set a “buy” rating for the company in a research note on Friday, May 1st. UBS Group decreased their target price on Wayfair from $130.00 to $115.00 and set a “buy” rating on the stock in a research note on Friday, May 1st. The Goldman Sachs Group set a $79.00 target price on Wayfair in a report on Friday, May 1st. TD Cowen dropped their target price on Wayfair from $88.00 to $75.00 and set a “hold” rating for the company in a research report on Thursday, April 30th. Finally, Morgan Stanley set a $110.00 price target on shares of Wayfair in a research note on Friday, May 1st. One analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $99.68.

Wayfair Price Performance

The company’s 50 day simple moving average is $73.10 and its 200 day simple moving average is $84.41. The firm has a market cap of $12.35 billion, a price-to-earnings ratio of -39.98, a P/E/G ratio of 4.88 and a beta of 3.02.

Wayfair (NYSE:W) last announced its quarterly earnings data on Thursday, April 30th. The company reported $0.26 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.26. The business had revenue of $2.93 billion for the quarter, compared to analysts’ expectations of $2.89 billion. Wayfair had a negative return on equity of 2.20% and a negative net margin of 2.41%.The company’s revenue for the quarter was up 7.4% compared to the same quarter last year. During the same period last year, the firm earned $0.10 earnings per share. As a group, analysts forecast that Wayfair Inc. will post 0.63 earnings per share for the current year.

Insiders Place Their Bets

In other news, CEO Niraj Shah sold 6,137 shares of the business’s stock in a transaction dated Friday, April 24th. The stock was sold at an average price of $78.62, for a total transaction of $482,490.94. Following the completion of the transaction, the chief executive officer directly owned 429,137 shares of the company’s stock, valued at approximately $33,738,750.94. The trade was a 1.41% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jon Blotner sold 4,790 shares of the company’s stock in a transaction that occurred on Thursday, April 2nd. The stock was sold at an average price of $72.19, for a total transaction of $345,790.10. Following the sale, the insider owned 111,158 shares in the company, valued at $8,024,496.02. The trade was a 4.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 244,790 shares of company stock worth $18,959,021 in the last quarter. 18.44% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Capital World Investors increased its position in shares of Wayfair by 0.6% in the 4th quarter. Capital World Investors now owns 13,457,158 shares of the company’s stock valued at $1,351,237,000 after purchasing an additional 82,584 shares during the last quarter. Vanguard Group Inc. grew its stake in shares of Wayfair by 0.8% during the fourth quarter. Vanguard Group Inc. now owns 9,634,757 shares of the company’s stock worth $967,426,000 after purchasing an additional 72,707 shares in the last quarter. Renaissance Technologies LLC grew its stake in shares of Wayfair by 3.5% during the fourth quarter. Renaissance Technologies LLC now owns 5,407,325 shares of the company’s stock worth $542,950,000 after purchasing an additional 180,558 shares in the last quarter. Janus Henderson Group PLC grew its stake in shares of Wayfair by 8.3% during the first quarter. Janus Henderson Group PLC now owns 3,866,708 shares of the company’s stock worth $290,813,000 after purchasing an additional 296,233 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership increased its holdings in Wayfair by 0.3% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 2,825,654 shares of the company’s stock valued at $283,724,000 after buying an additional 8,598 shares during the last quarter. Hedge funds and other institutional investors own 89.67% of the company’s stock.

Wayfair Company Profile

Wayfair Inc (NYSE: W) is an e-commerce company focused on home furnishings and décor. Through its platform, Wayfair offers a broad assortment of furniture, lighting, home textiles, kitchenware and decorative accessories. The company’s portfolio includes flagship sites such as Wayfair.com, as well as specialty retail brands like Joss & Main, AllModern, Birch Lane and Perigold, each catering to distinct design styles and price points.

Founded in 2002 by Niraj Shah and Steve Conine under the name CSN Stores, the business rebranded as Wayfair in 2011 and went public in 2014.