News about Wayfair

Wayfair said its third quarter posted its strongest sales growth since the pandemic, with U.S. revenue reaching about $3 billion, up 11.4%, while international net revenue fell 2.3% to $380 million. Total revenue rose 9.7% to $3.42 billion, above the $3.38 billion LSEG analyst estimate, and adjusted earnings per share were 93 cents versus 79 cents expected. The company posted net income of $62 million, or 45 cents per share, compared with a loss of $99 million a year earlier. Active customers grew 4.7% to 22.2 million, and orders delivered rose 12.2% to about 11 million. CFO Kate Gulliver said the company is keeping promotional activity for the holiday quarter similar to last year.

The U.S. holiday shopping season is about to begin and is expected to be very strong, and the article highlights three online retail stocks with a Zacks Rank #2 (Buy): Amazon.com (AMZN), Wayfair (W) and Groupon (GRPN). Mastercard projects U.S. retail sales (excluding automobiles and gas) during the holiday period to rise 5.5% year over year, the highest growth since 2021, with online sales up 11%. Deloitte estimates holiday sales growth of 4–4.8%, while Ernst & Young-Parthenon forecasts a 5.2% increase to $1.08 trillion from $1.03 trillion in 2025. In Q2 2026, Amazon's AWS sales rose 37% to $42.2 billion and advertising revenue rose 26% to $19.8 billion, while Wayfair's mobile share of second-quarter orders reached 64.1% and revenue per active customer grew 4.2%. Zacks consensus for 2026 projects revenue of $829.29 billion and EPS of $13.02 for Amazon, and $13.37 billion and $2.99 for Wayfair; for Groupon, the article says recovery still depends on execution.