Fulcrum Asset Management LLP Acquires 59,752 Shares of Wayfair Inc. $W

Key Points

• Fulcrum Asset Management opened a new Wayfair stake, acquiring 59,752 shares in the third quarter valued at approximately $6.09 million. Institutional investors collectively own 89.67% of the stock.
• Wayfair’s third-quarter results beat analyst expectations, with earnings of $0.93 per share versus $0.80 expected and revenue of $3.42 billion versus $3.38 billion expected.
• Analysts’ average price target is $128.57, and the stock carries a consensus “Moderate Buy” rating; the company expects higher holiday advertising costs to pressure near-term profitability.

Fulcrum Asset Management LLP acquired a new stake in Wayfair Inc. (NYSE:W - Free Report) during the third quarter, according to its most recent filing with the SEC. The firm acquired 59,752 shares of the company's stock, valued at approximately $6,092,000.

A number of other hedge funds have also recently bought and sold shares of the company. Heritage Family Offices LLP bought a new stake in shares of Wayfair during the third quarter worth $45,000. Fortitude Family Office LLC boosted its holdings in Wayfair by 144.7% in the third quarter. Fortitude Family Office LLC now owns 460 shares of the company's stock valued at $47,000 after acquiring an additional 272 shares during the last quarter. Provenance Wealth Advisors LLC bought a new position in Wayfair in the third quarter valued at about $53,000. IFP Advisors Inc boosted its holdings in Wayfair by 79.2% in the second quarter. IFP Advisors Inc now owns 810 shares of the company's stock valued at $75,000 after acquiring an additional 358 shares during the last quarter. Finally, Reyes Financial Architecture Inc. bought a new position in Wayfair in the third quarter valued at about $82,000. 89.67% of the stock is currently owned by institutional investors.

Key Wayfair News

Here are the key news stories impacting Wayfair this week:

• Positive Sentiment: Wayfair’s third-quarter results beat estimates: earnings were $0.93 per share versus $0.80 expected, and revenue was $3.42 billion versus $3.38 billion expected. U.S. sales grew 11.4%, with improved advertising leverage and market-share gains contributing to the performance. Wayfair Q3 Earnings Beat on U.S. Growth and Ad Cost Leverage
• Positive Sentiment: Analysts raised targets following the results. Notable moves included UBS to $165 with a Buy rating, Needham to $145 with a Buy rating, and Wells Fargo to $140 with an Overweight rating; Deutsche Bank lifted its target to $140 but maintained Hold. Wayfair analyst coverage
• Neutral Sentiment: CTO Fiona Tan sold 15,000 shares across November 4–5 for about $1.86 million. The sales were made under a pre-arranged Rule 10b5-1 plan, and she retained 181,698 shares, making the transactions a less direct indicator of her near-term view of the stock. SEC Form 4 filing
• Negative Sentiment: Management expects higher holiday advertising spending in the fourth quarter. Although Wayfair forecast high-single-digit revenue growth and a 6%–7% adjusted EBITDA margin, increased marketing costs could weigh on near-term profitability. Wayfair forecasts Q4 growth and adjusted EBITDA margin

Wayfair Stock Up 0.3%

W stock opened at $112.08 on Monday. Wayfair Inc. has a twelve month low of $55.60 and a twelve month high of $127.99. The company has a market cap of $14.79 billion, a P/E ratio of -89.67, a price-to-earnings-growth ratio of 5.06 and a beta of 3.10. The business's fifty day moving average is $105.88 and its 200-day moving average is $89.19.

Wayfair (NYSE:W - Get Free Report) last announced its quarterly earnings data on Wednesday, November 4th. The company reported $0.93 EPS for the quarter, topping analysts' consensus estimates of $0.80 by $0.13. The business had revenue of $3.42 billion during the quarter, compared to analysts' expectations of $3.38 billion. Wayfair had a negative return on equity of 5.14% and a negative net margin of 1.21%. The firm's quarterly revenue was up 9.7% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.70 earnings per share. Research analysts anticipate that Wayfair Inc. will post 0.97 earnings per share for the current fiscal year.

Analysts Set New Price Targets

W has been the subject of several recent research reports. Weiss Ratings reissued a "sell (d-)" rating on shares of Wayfair in a report on Monday, September 14th. Evercore restated an "outperform" rating and set a $130.00 target price on shares of Wayfair in a research report on Wednesday, August 5th. Citigroup reaffirmed a "buy" rating on shares of Wayfair in a research note on Monday. Royal Bank Of Canada raised their target price on shares of Wayfair from $96.00 to $128.00 and gave the company a "sector perform" rating in a research note on Thursday. Finally, BNP Paribas Exane lifted their price target on shares of Wayfair from $108.00 to $134.00 and gave the stock a "neutral" rating in a research report on Thursday. Three investment analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, twelve have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $128.57.

Insider Transactions at Wayfair

In other news, CEO Niraj Shah sold 117,000 shares of the company's stock in a transaction dated Thursday, October 15th. The stock was sold at an average price of $111.25, for a total value of $13,016,250.00. Following the completion of the sale, the chief executive officer directly owned 105,137 shares of the company's stock, valued at $11,696,491.25. This represents a 52.67% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Fiona Tan sold 8,000 shares of the company's stock in a transaction dated Tuesday, October 20th. The shares were sold at an average price of $115.00, for a total value of $920,000.00. Following the completion of the sale, the chief technology officer directly owned 196,698 shares of the company's stock, valued at approximately $22,620,270. This trade 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. In the last ninety days, insiders sold 692,070 shares of company stock worth $74,096,044. 18.44% of the stock is currently owned by company insiders.

Wayfair Profile

Wayfair Inc is an e-commerce company focused on furniture and home furnishings. Its online platform offers products for living rooms, bedrooms, kitchens, bathrooms, outdoor spaces and other areas of the home, including furniture, décor, lighting, rugs and housewares.

The company operates a portfolio of retail brands, including Wayfair, AllModern, Birch Lane, Joss & Main and Perigold. It serves customers primarily in the United States and Canada, as well as in select international markets.

Wayfair was founded in 2002 by Niraj Shah and Steve Conine as CSN Stores and adopted the Wayfair name in 2011.

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