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W

WayfairNYSE:W Stock Report

Market Cap

US$29.6b

7D

1.7%

1Y

-5.1%

Updated

27 Sep, 2021

Data

Company Financials +
W fundamental analysis
Snowflake Score
Valuation2/6
Future Growth5/6
Past Performance3/6
Financial Health2/6
Dividends0/6

W Overview

Wayfair Inc. engages in the e-commerce business in the United States and internationally.

Wayfair Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Wayfair
Historical stock prices
Current Share PriceUS$285.36
52 Week HighUS$221.09
52 Week LowUS$369.00
Beta3.09
1 Month Change-1.98%
3 Month Change-7.47%
1 Year Change-5.11%
3 Year Change98.66%
5 Year Change642.74%
Change since IPO656.52%

Recent News & Updates

Shareholder Returns

WUS Online RetailUS Market
7D1.7%1.1%2.0%
1Y-5.1%-5.8%32.8%

Return vs Industry: W matched the US Online Retail industry which returned -5.8% over the past year.

Return vs Market: W underperformed the US Market which returned 32.8% over the past year.

Price Volatility

Is W's price volatile compared to industry and market?
W volatility
W Beta3.09
Industry Beta1.1
Market Beta1

Stable Share Price: W is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: W's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
200216,122Niraj Shahhttps://www.wayfair.com

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

Wayfair Fundamentals Summary

How do Wayfair's earnings and revenue compare to its market cap?
W fundamental statistics
Market CapUS$29.65b
Earnings (TTM)US$345.65m
Revenue (TTM)US$14.85b

85.8x

P/E Ratio

2.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
W income statement (TTM)
RevenueUS$14.85b
Cost of RevenueUS$10.50b
Gross ProfitUS$4.34b
ExpensesUS$4.00b
EarningsUS$345.65m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.33
Gross Margin29.26%
Net Profit Margin2.33%
Debt/Equity Ratio-197.7%

How did W perform over the long term?

See historical performance and comparison

Valuation

Is Wayfair undervalued compared to its fair value and its price relative to the market?

42.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: W ($285.36) is trading below our estimate of fair value ($498.5)

Significantly Below Fair Value: W is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: W is poor value based on its PE Ratio (85.8x) compared to the US Online Retail industry average (37.8x).

PE vs Market: W is poor value based on its PE Ratio (85.8x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

PEG Ratio: W is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: W has negative assets, so we can't compare its PB Ratio to the US Online Retail industry average.


Future Growth

How is Wayfair forecast to perform in the next 1 to 3 years based on estimates from 29 analysts?

56.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: W's forecast earnings growth (56.3% per year) is above the savings rate (2%).

Earnings vs Market: W's earnings (56.3% per year) are forecast to grow faster than the US market (15% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: W's revenue (15.1% per year) is forecast to grow faster than the US market (9.8% per year).

High Growth Revenue: W's revenue (15.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: W's Return on Equity is forecast to be very high in 3 years time (165%).


Past Performance

How has Wayfair performed over the past 5 years?

2.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: W has high quality earnings.

Growing Profit Margin: W became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: W has become profitable over the past 5 years, growing earnings by 2.3% per year.

Accelerating Growth: W has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: W has become profitable in the last year, making it difficult to compare its past year earnings growth to the Online Retail industry (57.3%).


Return on Equity

High ROE: W's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Financial Health

How is Wayfair's financial position?


Financial Position Analysis

Short Term Liabilities: W has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: W has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: W has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: W's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: W's debt is well covered by operating cash flow (32.5%).

Interest Coverage: W's interest payments on its debt are well covered by EBIT (4.5x coverage).


Balance Sheet


Dividend

What is Wayfair current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate W's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate W's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if W's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if W's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of W's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.8yrs

Average management tenure


CEO

Niraj Shah (47 yo)

19.67yrs

Tenure

US$83,274

Compensation

Mr. Niraj S. Shah Co-Founded ZIZO Home Pty Ltd. in 2008 and serves as its Chief Executive Officer and Co-Chairman. He serves as Member of Strategic Advisory Board at Volition Capital LLC.He serves as a Me...


CEO Compensation Analysis

Compensation vs Market: Niraj's total compensation ($USD83.27K) is below average for companies of similar size in the US market ($USD11.29M).

Compensation vs Earnings: Niraj's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: W's management team is considered experienced (4.8 years average tenure).


Board Members

Experienced Board: W's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: W insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8.9%.


Top Shareholders

Company Information

Wayfair Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Wayfair Inc.
  • Ticker: W
  • Exchange: NYSE
  • Founded: 2002
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Market Cap: US$29.649b
  • Shares outstanding: 103.90m
  • Website: https://www.wayfair.com

Number of Employees


Location

  • Wayfair Inc.
  • 4 Copley Place
  • 7th Floor
  • Boston
  • Massachusetts
  • 2116
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/27 23:03
End of Day Share Price2021/09/27 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.