Wayfair (NYSE:W) Trading 7.9% Higher - Should You Buy?

Wayfair Inc. (NYSE:W - Get Free Report)'s share price shot up 7.9% during mid-day trading on Tuesday . The stock traded as high as $38.97 and last traded at $39.06. 939,363 shares traded hands during trading, a decline of 80% from the average session volume of 4,724,569 shares. The stock had previously closed at $36.20.

Analyst Ratings Changes

A number of equities research analysts recently commented on W shares. Royal Bank of Canada reiterated a "sector perform" rating and set a $25.00 price target on shares of Wayfair in a report on Friday, April 25th. Guggenheim dropped their target price on shares of Wayfair from $60.00 to $50.00 and set a "buy" rating on the stock in a report on Friday, May 2nd. Zelman & Associates started coverage on shares of Wayfair in a research report on Thursday, May 15th. They set an "outperform" rating for the company. Truist Financial set a $40.00 price objective on shares of Wayfair in a research report on Friday, May 2nd. Finally, BMO Capital Markets set a $38.00 price target on shares of Wayfair in a research report on Friday, May 2nd. One research analyst has rated the stock with a sell rating, twelve have given a hold rating, twelve have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $43.83.

Wayfair Trading Up 11.7%

The stock has a market capitalization of $5.19 billion, a PE ratio of -10.05 and a beta of 2.93. The firm's fifty day moving average is $31.77 and its 200-day moving average is $39.78.

Wayfair (NYSE:W - Get Free Report) last released its earnings results on Thursday, May 1st. The company reported $0.10 earnings per share for the quarter, topping analysts' consensus estimates of ($0.14) by $0.24. The firm had revenue of $2.73 billion for the quarter, compared to analysts' expectations of $2.71 billion. During the same quarter in the previous year, the company posted ($0.32) earnings per share. The firm's quarterly revenue was up .0% on a year-over-year basis. As a group, equities analysts predict that Wayfair Inc. will post -2.54 EPS for the current year.

Insider Activity at Wayfair

In related news, CEO Niraj Shah sold 2,258 shares of the stock in a transaction on Wednesday, May 14th. The stock was sold at an average price of $40.01, for a total transaction of $90,342.58. Following the sale, the chief executive officer now owns 541,627 shares of the company's stock, valued at $21,670,496.27. This trade represents a 0.42% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Kate Gulliver sold 19,296 shares of the stock in a transaction on Wednesday, April 2nd. The shares were sold at an average price of $31.67, for a total value of $611,104.32. Following the sale, the chief financial officer now directly owns 144,474 shares in the company, valued at approximately $4,575,491.58. The trade was a 11.78% decrease in their position. The disclosure for this sale can be found here. Insiders sold 97,330 shares of company stock valued at $3,377,506 over the last three months. 21.91% of the stock is owned by corporate insiders.

Institutional Trading of Wayfair

Hedge funds have recently added to or reduced their stakes in the business. Alyeska Investment Group L.P. raised its holdings in shares of Wayfair by 681.8% during the 1st quarter. Alyeska Investment Group L.P. now owns 5,462,651 shares of the company's stock valued at $174,969,000 after buying an additional 4,763,944 shares during the period. Southpoint Capital Advisors LP increased its holdings in Wayfair by 100.0% during the 4th quarter. Southpoint Capital Advisors LP now owns 2,800,000 shares of the company's stock worth $124,096,000 after purchasing an additional 1,400,000 shares during the last quarter. Capital World Investors increased its holdings in Wayfair by 6.2% during the 4th quarter. Capital World Investors now owns 13,506,200 shares of the company's stock worth $598,596,000 after purchasing an additional 782,757 shares during the last quarter. Baillie Gifford & Co. grew its position in shares of Wayfair by 13.6% in the 4th quarter. Baillie Gifford & Co. now owns 6,179,761 shares of the company's stock worth $273,887,000 after acquiring an additional 740,641 shares in the last quarter. Finally, Norges Bank acquired a new position in shares of Wayfair in the 4th quarter worth approximately $31,472,000. 89.67% of the stock is owned by institutional investors and hedge funds.

Wayfair Company Profile

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.

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