Core Viewpoint - Wayfair (NYSE: W) is expected to continue gaining market share as consumers shift towards digital purchases, supported by recent strategic initiatives despite lower-than-expected gross margins in the recent quarter [2][5][6] Financials/Valuation - Total revenues grew 0.4% year over year in 4Q23, slightly above the 0.1% expected by consensus, with US growth at 0.9% and international down 2.7% [3] - Gross margin performance exceeded expectations, coming in at 30.4% compared to the consensus estimate of 30.7%, leading to adjusted EBITDA of $92 million, aligning with a 3% margin [3] - Management expects mid-single-digit percentage net revenue growth for 1Q24, with gross margin projected between 30% and 31% and EBITDA margin in the low-single-digit percentage [3] - FY24 growth is now modeled at only 1% due to adverse conditions, but a recovery is anticipated in FY25 with high single-digit growth expected [4] - A 15x forward EBITDA multiple is applied to FY25 estimated EBITDA of $908 million, suggesting a share price of approximately $90, justified by faster growth compared to peers [4] Market Position and Strategic Initiatives - Wayfair has gained market share for six consecutive quarters, outperforming the overall home furnishings category, indicating a strong value proposition [5] - The company is well-positioned to capture market share due to its digitally native platform, benefiting from the shift in consumer demand from offline to online [5] - Recent strategic initiatives include the relaunch of free white glove delivery and a new tender-neutral loyalty program, aimed at improving customer satisfaction and retention [5][6] - The white glove delivery feature is expected to optimize unit economics and reduce the risk of damaged goods, enhancing customer experience [5] - The loyalty program aims to broaden customer engagement beyond those with Wayfair-branded credit cards, potentially increasing adoption rates [5] Margin Outlook - The long-term gross margin target of 35% remains valid, with expectations of margin recovery as the company scales and benefits from structural operating leverage [5] - Increased shipping times due to disruptions are not expected to significantly impact product availability, and container price increases have been manageable compared to previous years [5]

Unveiling a refreshed logo, a new take on the brand's iconic jingle, and more, the star-studded campaign inspires consumers to celebrate their personal home styles and needs, unapologeticallyBOSTON, March 11, 2024 /PRNewswire/ -- Wayfair Inc. (NYSE:W), one of the world's largest destinations for the home, today announced the launch of its new brand campaign, "Welcome to the Wayborhood." The campaign marks a pivotal moment in the ongoing evolution of the Wayfair brand as the company introduces a refreshed lo ...

Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than the traditional "buying low and selling high" strategy, aiming for quicker profits through trending stocks [1] Group 1: Momentum Investing Strategy - Momentum investing can be risky as stocks may lose momentum when their growth potential does not justify high valuations [1] - A safer approach is to invest in bargain stocks that exhibit recent price momentum, identified through tools like the Zacks Momentum Style Score [2] Group 2: Wayfair (W) Stock Analysis - Wayfair (W) has shown a four-week price change of 14.8%, indicating growing investor interest [2] - The stock gained 8.7% over the past 12 weeks, demonstrating its ability to deliver positive returns over a longer timeframe [3] - Wayfair has a high beta of 3.32, suggesting it moves 232% higher than the market in either direction, indicating fast-paced momentum [3] Group 3: Earnings Estimates and Valuation - Wayfair has a Momentum Score of A, suggesting it is an opportune time to invest in the stock [3] - The stock has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which typically attract more investors [4] - Wayfair is trading at a Price-to-Sales ratio of 0.57, indicating it is relatively cheap at present, as investors pay only 57 cents for each dollar of sales [4] Group 4: Additional Investment Opportunities - Besides Wayfair, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, which could be considered for investment [5] - The Zacks Premium Screens offer over 45 strategies to help identify potential winning stocks based on various investing styles [5]

Wayfair (W) reported a fourth-quarter 2023 non-GAAP loss of 11 cents per share, narrower than the Zacks Consensus Estimate for a loss of 23 cents per share. The company reported a loss of $1.71 per share in the year-ago quarter.Net revenues of $3.11 billion surpassed the consensus mark by 0.5%. The top line increased 0.4% year over year.Growth in the active customer base positively impacted results. Active customers were up 1.4% year over year to 22.4 million and beat the consensus mark by 0.51%.LTM net rev ...

Key TakeawaysWayfair reported that it added customers and reduced expenses, helping it post better-than-expected fourth-quarter results.The online furnishing retailer's adjusted net loss was narrower than forecast, while its revenue for the latest quarter beat estimates.CEO Niraj Shah said Wayfair benefited from job cuts and other steps to improve efficiencies.Wayfair Inc. (W) shares jumped Thursday after the online home furnishing retailer posted a lower-than-expected net loss as it cut costs and added cus ...

Wayfair's leaders say several recent rounds of layoffs have made the company better and better. In January, the home goods company laid off 13% of its workforce, affecting 1,650 employees. The leaders say the smaller staff has helped the company get more done faster — and cheaper.  NEW LOOK Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. Read preview Thanks for signing up! Access your favorite topics in a personalized feed while you're ...

Wayfair Inc. (NYSE:W) Q4 2023 Earnings Conference Call February 22, 2024 8:00 AM ET Company Participants James Lamb - Head of Investor Relations Niraj Shah - CEO, Co-Founder and Co-Chairman Steve Conine - Co-Chairman and Co-Founder Kate Gulliver - Chief Financial Officer and Chief Administrative Officer Conference Call Participants Simeon Gutman - Morgan Stanley Alexandra Steiger - Goldman Sachs Brian Nagel - Oppenheimer Anna Andreeva - Needham Colin Sebastian - Baird Christopher Horvers - JPMorgan Steven F ...

For the quarter ended December 2023, Wayfair (W) reported revenue of $3.11 billion, up 0.4% over the same period last year. EPS came in at -$0.11, compared to -$1.71 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $3.1 billion, representing a surprise of +0.51%. The company delivered an EPS surprise of +52.17%, with the consensus EPS estimate being -$0.23.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expe ...

Wayfair (W) came out with a quarterly loss of $0.11 per share versus the Zacks Consensus Estimate of a loss of $0.23. This compares to loss of $1.71 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 52.17%. A quarter ago, it was expected that this online home goods retailer would post a loss of $0.43 per share when it actually produced a loss of $0.13, delivering a surprise of 69.77%.Over the last four quarters, the company has ...

Q4 Net Revenue of $3.1 billion with 22.4 million Active Customers BOSTON, Feb. 22, 2024 /PRNewswire/ -- Wayfair Inc. ("Wayfair," "we," or "our") (NYSE: W), one of the world's largest destinations for the home, today reported financial results for its fourth quarter and full year ended December 31, 2023. Fourth Quarter 2023 Financial Highlights Total net revenue of $3.1 billion increased $13 million, up 0.4% year over year U.S. net revenue of $2.7 billion increased $24 million, up 0.9% year over year Intern ...