JPMorgan Chase & Co. Forecasts Strong Price Appreciation for Wayfair (NYSE:W) Stock

Key Points

• JPMorgan raised Wayfair’s price target from $125 to $136 and maintained an “overweight” rating, implying 14.43% upside from the prior close.
• Analyst sentiment is broadly positive, with a consensus “Moderate Buy” rating and average price target of $122.21; Wayfair recently exceeded quarterly EPS and revenue estimates.
• Wayfair shares rose 2.5% to $118.85, while insiders sold approximately $72.2 million of stock over the past quarter. Hedge funds and other institutional investors own 89.67% of the company.

Wayfair (NYSE:W - Get Free Report) had its target price increased by investment analysts at JPMorgan Chase & Co. from $125.00 to $136.00 in a note issued to investors on Monday, Benzinga reports. The firm currently has an "overweight" rating on the stock. JPMorgan Chase & Co.'s price objective indicates a potential upside of 14.43% from the stock's previous close.

Other equities analysts have also issued reports about the company. Benchmark assumed coverage on Wayfair in a research note on Tuesday, July 7th. They issued a "hold" rating on the stock. Sanford C. Bernstein reaffirmed an "outperform" rating on shares of Wayfair in a research report on Tuesday, September 1st. Wells Fargo & Company lifted their price objective on shares of Wayfair from $100.00 to $130.00 and gave the company an "overweight" rating in a research note on Wednesday, August 5th. Rosenblatt Securities started coverage on shares of Wayfair in a research report on Thursday, August 20th. They set a "buy" rating and a $125.00 target price on the stock. Finally, Robert W. Baird boosted their target price on shares of Wayfair from $116.00 to $117.00 and gave the company a "neutral" rating in a research report on Thursday, October 8th. One analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $122.21.

Wayfair Trading Up 2.5%

W stock traded up $2.94 during midday trading on Monday, hitting $118.85. The stock had a trading volume of 438,343 shares, compared to its average volume of 3,364,614. The firm has a market cap of $15.69 billion, a P/E ratio of -48.14, a price-to-earnings-growth ratio of 4.17 and a beta of 3.10. Wayfair has a 1-year low of $55.60 and a 1-year high of $122.13. The business has a fifty day moving average price of $104.78 and a two-hundred day moving average price of $89.19.

Wayfair (NYSE:W - Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The company reported $0.95 earnings per share for the quarter, topping analysts' consensus estimates of $0.90 by $0.05. Wayfair had a negative return on equity of 3.40% and a negative net margin of 2.49%. The firm had revenue of $3.52 billion during the quarter, compared to the consensus estimate of $3.47 billion. During the same period last year, the business posted $0.87 EPS. The business's revenue was up 7.5% compared to the same quarter last year. On average, equities analysts anticipate that Wayfair will post 0.93 EPS for the current year.

Insider Buying and Selling

In other Wayfair news, CEO Niraj Shah sold 117,000 shares of the firm's stock in a transaction on Thursday, October 15th. The stock was sold at an average price of $111.25, for a total transaction of $13,016,250.00. Following the transaction, the chief executive officer directly owned 105,137 shares in the company, valued at approximately $11,696,491.25. This trade represents a 52.67% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Fiona Tan sold 8,000 shares of Wayfair stock in a transaction on Tuesday, October 20th. The stock was sold at an average price of $115.00, for a total transaction of $920,000.00. Following the transaction, the chief technology officer directly owned 196,698 shares in the company, valued at $22,620,270. This represents a 3.91% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 676,570 shares of company stock valued at $72,176,934. 18.44% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Janus Henderson Group PLC increased its stake in Wayfair by 8.3% in the 1st quarter. Janus Henderson Group PLC now owns 3,866,708 shares of the company's stock valued at $290,813,000 after buying an additional 296,233 shares during the last quarter. Atreides Management LP boosted its stake in shares of Wayfair by 64.3% in the 1st quarter. Atreides Management LP now owns 1,430,997 shares of the company's stock worth $107,625,000 after buying an additional 560,133 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in shares of Wayfair by 46.4% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,036,531 shares of the company's stock worth $77,923,000 after buying an additional 328,358 shares during the last quarter. Assenagon Asset Management S.A. grew its holdings in shares of Wayfair by 42.2% in the second quarter. Assenagon Asset Management S.A. now owns 818,591 shares of the company's stock valued at $75,654,000 after acquiring an additional 242,791 shares in the last quarter. Finally, Bank of New York Mellon Corp grew its holdings in shares of Wayfair by 1.8% in the first quarter. Bank of New York Mellon Corp now owns 310,825 shares of the company's stock valued at $23,377,000 after acquiring an additional 5,586 shares in the last quarter. 89.67% of the stock is currently owned by hedge funds and other institutional investors.

About Wayfair

Wayfair Inc is an e-commerce company that sells furniture, home furnishings and related products through digital platforms. Its selection includes furniture, décor, lighting, rugs, mattresses, kitchen and dining products, housewares, home improvement items, outdoor furnishings and other goods for residential and commercial spaces.

The company operates a portfolio of online brands and retail websites, including Wayfair, Joss & Main, AllModern, Birch Lane and Perigold. These brands are designed to serve different customer preferences, price points and areas of the home-furnishings market.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.