This is partly due to a positive market share trend and a new management effort to control expenses. Wayfair (W) received an upgrade from JP Morgan on Monday. W stock soared.
“Our view W is structurally related to the residential retail industry with a major online assortment and a favorable supply chain,” JPMorgan analyst Christopher Hoovers said in a note to clients. Stated.
Based in Boston, Wayfair operates a variety of websites. The site offers a wide variety of styles and price points of furniture, appliances and decorations. In addition to Wayfair.com, the company also runs his Birch Lane, Joss & Main, and Perigold.
Wayfair’s share price closed 26.8% higher at 59.33 on the stock market today.
W stock soars after downsizing
On Friday, Wayfair cut its workforce by 1,750, or 10%. The announcement sent W shares up 20%.
Overall, recent decisions by Wayfair’s management “should provide a significant change to the significant negative-to-positive earnings correction of the past two years, in addition to a still attractive valuation,” he wrote. .
Wayfair reported its third quarter results on November 3rd. This was in line with revenue projections, but exceeded revenue.
W shares have an overall IBD rating of 12 out of 99.
Follow Brian Deagon on Twitter. @IBD_BDeagon Learn more about technology stocks, analytics and financial markets.
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