Wayfair Offset Demand Headwinds With Market Share Growth, Asserts Analyst Ahead Of Q3 Results

Shares of Wayfair Inc W were trading lower on Monday.

The stock has lost around 24% since mid-August due to concerns around macro headwinds and higher interest rates, according to Wedbush.

The Wayfair Analyst: Seth Basham maintained an Outperform rating for Wayfair, while reducing the price target from $100 to $80.

The Wayfair Thesis: Despite the macro challenges, the company is likely to meet expectations when it reports its third-quarter results, scheduled for Nov. 1, Basham said in the note.

Check out other analyst stock ratings.

“While industry data suggests demand decelerated as the quarter progressed…, we believe W offset industry demand headwinds through incremental market share growth based on positive traffic trends at Wayfair.com,” the analyst wrote.

“Despite abating transportation costs, we see slight downside risk to consensus’ margin forecast based on weaker industry demand trends,” he added.

W Price Action: Shares of Wayfair had declined by 6.94% to $53.13 at the time of publication Monday.

Now Read: Amazon Is Winning Its Bet On NFL Rights: A Look At The Numbers, Taylor Swift Upside

Photo: Shutterstock