Wayfair (NYSE:W) Raised to "Buy" at Citigroup

Key Points

• Wayfair's stock rating has been upgraded from "neutral" to "buy" by Citigroup, with a target price of $93.00, indicating potential upside of 26.44% from its previous close.
• The company's recent earnings report showed an EPS of $0.87, surpassing analyst expectations and reflecting a 5.0% year-over-year revenue increase.
• Insider trading activity included significant sales by executives, with Steven Conine and CEO Niraj Shah each selling over 179,000 shares, reducing their stakes by approximately 43%.

Wayfair (NYSE:W - Get Free Report) was upgraded by equities research analysts at Citigroup from a "neutral" rating to a "buy" rating in a report released on Tuesday, Marketbeat.com reports. The firm currently has a $93.00 target price on the stock, up from their prior target price of $32.00. Citigroup's target price would indicate a potential upside of 21.18% from the company's previous close.

Other analysts also recently issued reports about the company. Wedbush raised Wayfair to a "hold" rating in a research note on Thursday, May 1st. TD Cowen raised shares of Wayfair from a "hold" rating to a "strong-buy" rating in a report on Thursday, June 5th. Needham & Company LLC lifted their price target on Wayfair from $40.00 to $83.00 and gave the stock a "buy" rating in a report on Monday. Morgan Stanley restated an "overweight" rating and issued a $70.00 price objective (up previously from $50.00) on shares of Wayfair in a research note on Wednesday, July 2nd. Finally, Truist Financial set a $40.00 price objective on shares of Wayfair in a research report on Friday, May 2nd. One equities research analyst has rated the stock with a sell rating, ten have assigned a hold rating, fifteen have given a buy rating and two have issued a strong buy rating to the company. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $65.96.

Wayfair Stock Up 4.2%

Wayfair stock traded up $3.07 during midday trading on Tuesday, reaching $76.75. The stock had a trading volume of 4,714,165 shares, compared to its average volume of 5,048,731. Wayfair has a 52-week low of $20.41 and a 52-week high of $77.30. The firm has a market cap of $9.85 billion, a price-to-earnings ratio of -31.98 and a beta of 2.92. The company has a fifty day moving average of $54.66 and a 200 day moving average of $42.91.

Wayfair (NYSE:W - Get Free Report) last announced its quarterly earnings results on Monday, August 4th. The company reported $0.87 earnings per share for the quarter, topping the consensus estimate of $0.33 by $0.54. The business had revenue of $3.27 billion during the quarter, compared to analysts' expectations of $3.11 billion. Wayfair's revenue for the quarter was up 5.0% on a year-over-year basis. During the same period in the previous year, the company posted $0.47 EPS. Equities research analysts predict that Wayfair will post -2.54 EPS for the current year.

Insider Activity at Wayfair

In other Wayfair news, CEO Niraj Shah sold 60,000 shares of the firm's stock in a transaction dated Monday, July 21st. The stock was sold at an average price of $56.03, for a total transaction of $3,361,800.00. Following the transaction, the chief executive officer directly owned 169,137 shares in the company, valued at $9,476,746.11. This trade represents a 26.19% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Steven Conine sold 60,000 shares of the firm's stock in a transaction that occurred on Monday, July 21st. The shares were sold at an average price of $56.02, for a total value of $3,361,200.00. Following the completion of the transaction, the insider directly owned 169,073 shares in the company, valued at $9,471,469.46. The trade was a 26.19% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 800,204 shares of company stock valued at $40,135,236. Insiders own 21.91% of the company's stock.

Institutional Investors Weigh In On Wayfair

Several hedge funds and other institutional investors have recently modified their holdings of the stock. True Wealth Design LLC raised its stake in Wayfair by 207.1% during the fourth quarter. True Wealth Design LLC now owns 565 shares of the company's stock worth $25,000 after acquiring an additional 381 shares in the last quarter. Aster Capital Management DIFC Ltd acquired a new stake in shares of Wayfair during the 4th quarter worth about $41,000. GAMMA Investing LLC lifted its holdings in Wayfair by 85.8% during the 1st quarter. GAMMA Investing LLC now owns 1,319 shares of the company's stock valued at $42,000 after purchasing an additional 609 shares during the last quarter. Parallel Advisors LLC boosted its position in Wayfair by 229.0% in the second quarter. Parallel Advisors LLC now owns 1,576 shares of the company's stock valued at $81,000 after buying an additional 1,097 shares in the last quarter. Finally, IFP Advisors Inc boosted its position in Wayfair by 49.3% in the second quarter. IFP Advisors Inc now owns 1,869 shares of the company's stock valued at $96,000 after buying an additional 617 shares in the last quarter. Institutional investors and hedge funds own 89.67% of the company's stock.

About Wayfair

Wayfair Inc provides e-commerce business in the United States and internationally. The company offers approximately thirty million products for the home sector. It offers online selections of furniture, décor, housewares, and home improvement products through its sites consisting of Wayfair, Joss & Main, AllModern, Birch Lane, Perigold, and Wayfair Professional.