
Wayfair (W) Stock Forecast & Price Target
Wayfair (W) Analyst Ratings
Bulls say
Wayfair has demonstrated robust financial performance with accelerating net revenue growth, achieving a year-over-year increase of 8.1% in the third quarter, which is the highest level since 2021. The company's free cash flow projection for 2026 is expected to reach $420 million, a significant turnaround from a cash use of $1.1 billion in 2022, indicating a strong improvement in liquidity and operational efficiency. Additionally, the firm has reported an all-time high EBITDA margin (excluding pandemic effects) with substantial improvements in both international margins and contribution margins, reflecting enhanced profitability and a strengthening business model.
Bears say
Wayfair faces significant challenges that contribute to a negative outlook, including management's difficulties in executing its experimental business model and persistent macroeconomic issues that may dampen demand for home-related products. The company reported a deceleration in international revenue growth, experiencing a sequential decline of 269 basis points in 3Q and an even steeper drop when excluding the impact from exiting the German market, indicating ongoing weakness in key markets. Additionally, increased competition in both the online and brick-and-mortar sectors limits Wayfair's ability to expand market share, ultimately impacting EBITDA and free cash flow growth amid a backdrop of sluggish category performance.
This aggregate rating is based on analysts' research of Wayfair and is not a guaranteed prediction by Public.com or investment advice.
Wayfair (W) Analyst Forecast & Price Prediction
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