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Wayfair (W) To Report Earnings Tomorrow: Here Is What To Expect

StockStory - Wed Feb 21, 1:01AM CST

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Online home goods retailer Wayfair (NYSE: W) will be reporting results tomorrow before the bell. Here's what to expect.

Last quarter Wayfair reported revenues of $2.94 billion, up 3.7% year on year, missing analyst expectations by 1.3%. It was a weak quarter for the company, with a miss of analysts' revenue estimates and slow revenue growth. The company reported 22.3 million active buyers, down 1.3% year on year.

Is Wayfair buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Wayfair's revenue to grow 0.2% year on year to $3.11 billion, improving on the 4.6% year-over-year decline in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.15 per share.

Wayfair Total Revenue

The analysts covering the company have been growing increasingly bearish about the business heading into the earnings, with revenue estimates seeing nine downward revisions over the last thirty days. The company missed Wall St's revenue estimates twice over the last two years.

Looking at Wayfair's peers in the consumer internet segment, some of them have already reported Q4 earnings results, giving us a hint of what we can expect. Meta delivered top-line growth of 24.7% year on year, beating analyst estimates by 2.4% and Roku reported revenues up 13.5% year on year, exceeding estimates by 1.7%. Meta traded up 8.3% on the results, and Roku was down 14.8%.

Read our full analysis of Meta's results here and Roku's results here.

Investors in the consumer internet segment have had steady hands going into the earnings, with the stocks up on average 1.7% over the last month. Wayfair is down 12.9% during the same time, and is heading into the earnings with analyst price target of $69.9, compared to share price of $50.4.

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