Wayfair is cutting about 870 employees, or 5% of its global workforce, as part of a plan previously announced by the home goods company to manage operating costs and realign its investment priorities after the pandemic.
With millions sheltering at home in 2020, the Boston company reported 55% sales growth as families spent heavily to furnish living rooms and other parts of the house. Last year, as more people ventured out, sales at Wayfair declined 3.1%.
Wayfair Inc. expects costs related to the job cuts to run between $30 million and $40 million in the third quarter, mostly related to employee severance and benefits.
The company said that it's also in the process of making substantial cuts to third party labor costs as well.
Shares tumbled 13% in Friday morning trading.
Before you consider Wayfair, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Wayfair wasn't on the list.
While Wayfair currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
Looking to profit from the electric vehicle mega-trend? Enter your email address and we'll send you our list of which EV stocks show the most long-term potential.
Get This Free Report
Like this article? Share it with a colleague.
Link copied to clipboard.
