Wayfair Analyst Raises Price Target By More Than 100% After Q2

Shares of Wayfair Inc (NYSE:W) traded erratically Tuesday despite upbeat second-quarter revenue results—but one analyst is clearly leaning into the momentum.

• Needham's Bernie McTernan doubled down on his bullish stance, reiterating a Buy rating and nearly doubling his price target from $40 to $83.
• Stifel's Mark Kelley was more cautious, maintaining a Hold rating while nudging his price target from $56 to $68, reflecting tempered optimism amid continued volatility.

Check out other analyst stock ratings.

Stifel: Wayfair reported net revenue of $3.27 billion, surpassing Street expectations of $3.13 billion, Kelley said. This marked the strongest growth in net revenue since 2021 and was driven by accelerating growth in the U.S.

Management guided to third-quarter net revenue growth in the range of low-single-digits to mid-double-digits. Compare that to Street estimates, which were flat. "The company has yet to see any material impacts from tariffs and demand does not seem to have been pulled forward," Kelley wrote.

Needham: Wayfair's higher-than-expected revenue growth both as the second-quarter results and third-quarter guidance has shifted the debate from the timeline and sustainability of revenue growth to when the company can bounce back to double-digit growth, McTernan said.

The company gained market share, which management attributed to "continued improvements in core fundamentals, the return of full tech development capacity post replatforming, and traction from new initiatives such as Wayfair Verified, Wayfair Rewards, and physical retail," the analyst stated.

Revenue growth is likely to accelerate over the next couple of years, from 3% growth in 2025 to 5% in 2026 and 7% in 2027, with room for upside "as housing velocity could pick up in ’26E in a lower rate environment and continued platform improvements," he added.

Price Action: Shares of Wayfair had risen by 0.53% to $73.87 at the time of publication on Tuesday.

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• This Wayfair Analyst Turns Bullish; Here Are Top 5 Upgrades For Tuesday

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