Wayfair (NYSE:W) Shares Gap Down – Time to Sell?

Wayfair Inc. (NYSE:W)’s stock price gapped down before the market opened on Wednesday . The stock had previously closed at $93.25, but opened at $88.57. Wayfair shares last traded at $85.9610, with a volume of 624,570 shares changing hands.

Analyst Upgrades and Downgrades

Several equities analysts have recently issued reports on W shares. Mizuho lowered their price target on Wayfair from $110.00 to $90.00 and set an “outperform” rating for the company in a research report on Friday, May 8th. Jefferies Financial Group cut their price objective on shares of Wayfair from $86.00 to $70.00 and set a “hold” rating on the stock in a research report on Thursday, April 30th. Citigroup reduced their price objective on shares of Wayfair from $110.00 to $95.00 and set a “buy” rating for the company in a research note on Tuesday, May 19th. TD Cowen decreased their target price on shares of Wayfair from $88.00 to $75.00 and set a “hold” rating for the company in a report on Thursday, April 30th. Finally, Guggenheim reiterated a “buy” rating and issued a $100.00 target price on shares of Wayfair in a research note on Wednesday, May 20th. Two research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $99.68.

Wayfair Price Performance

The company has a 50 day moving average price of $76.05 and a two-hundred day moving average price of $84.07. The stock has a market cap of $11.97 billion, a PE ratio of -38.76, a PEG ratio of 4.56 and a beta of 2.96.

Wayfair (NYSE:W) last released its quarterly earnings data on Thursday, April 30th. The company reported $0.26 EPS for the quarter, meeting the consensus estimate of $0.26. Wayfair had a negative return on equity of 2.20% and a negative net margin of 2.41%.The company had revenue of $2.93 billion for the quarter, compared to analysts’ expectations of $2.89 billion. During the same period last year, the firm posted $0.10 earnings per share. Wayfair’s revenue was up 7.4% compared to the same quarter last year. As a group, equities analysts predict that Wayfair Inc. will post 0.63 earnings per share for the current fiscal year.

Insider Buying and Selling at Wayfair

In other news, insider Jon Blotner sold 5,925 shares of Wayfair stock in a transaction that occurred on Thursday, July 2nd. The shares were sold at an average price of $96.29, for a total value of $570,518.25. Following the completion of the sale, the insider directly owned 117,344 shares in the company, valued at $11,299,053.76. The trade was a 4.81% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Steven Conine sold 112,861 shares of the business’s stock in a transaction that occurred on Thursday, April 23rd. The shares were sold at an average price of $77.50, for a total transaction of $8,746,727.50. Following the transaction, the director directly owned 436,212 shares of the company’s stock, valued at $33,806,430. The trade was a 20.55% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 245,925 shares of company stock worth $19,183,749. Company insiders own 18.44% of the company’s stock.

Institutional Investors Weigh In On Wayfair

Several institutional investors and hedge funds have recently added to or reduced their stakes in W. Arrowstreet Capital Limited Partnership raised its stake in Wayfair by 826.0% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 2,817,056 shares of the company’s stock valued at $251,648,000 after buying an additional 2,512,854 shares during the last quarter. Voloridge Investment Management LLC purchased a new position in shares of Wayfair in the 3rd quarter worth $108,125,000. Norges Bank bought a new stake in shares of Wayfair in the fourth quarter worth $117,973,000. AQR Capital Management LLC grew its holdings in shares of Wayfair by 197.3% in the second quarter. AQR Capital Management LLC now owns 1,557,937 shares of the company’s stock worth $79,673,000 after acquiring an additional 1,033,865 shares during the period. Finally, Holocene Advisors LP increased its position in Wayfair by 351.9% during the second quarter. Holocene Advisors LP now owns 1,294,057 shares of the company’s stock valued at $66,178,000 after acquiring an additional 1,007,676 shares during the last quarter. Hedge funds and other institutional investors own 89.67% of the company’s stock.

Wayfair Company Profile

Wayfair Inc (NYSE: W) is an e-commerce company focused on home furnishings and décor. Through its platform, Wayfair offers a broad assortment of furniture, lighting, home textiles, kitchenware and decorative accessories. The company’s portfolio includes flagship sites such as Wayfair.com, as well as specialty retail brands like Joss & Main, AllModern, Birch Lane and Perigold, each catering to distinct design styles and price points.

Founded in 2002 by Niraj Shah and Steve Conine under the name CSN Stores, the business rebranded as Wayfair in 2011 and went public in 2014.