Wayfair stock: buy or sell

W stock price: $335.65 16.15% At close on Mar 1st, 2021

Updated on:
Mar 2nd, 2021

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Wayfair stock brief

  • Wayfair stock exploded 16.15% to close at $335.65 on the stock market on Monday, and broke a streak of 4 sessions in negative.
  • The price is currently above the upper Bollinger band, which usually indicates a short-term correction
  • Wayfair presented its financial report last Thursday
  • Truist posted a strong bullish rating for Wayfair on Monday, forecasting $370.00
  • The stock is configuring an uptrend pattern since November 2020, when it bottomed at $221.09. This uptrend marked a 51.82% gain
  • Wayfair Inc. engages in the e-commerce business in the United States and internationally. It provides approximately eighteen million products for the home sector under various brands.

Should I buy Wayfair stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is $W stock a buy?

In the current situation of Wayfair there is just one buy setup eligible:

Uptrend buy setup

Wayfair stock is in an uptrend since in November 2020 that so far marked a gorgeous 52.00% gain. Price marked a local bottom in this uptrend at $243.43 on February 23, and since then it bounced up a 37.88%. Now, it's only 9.94% away from breaking out above its last top and resume the uptrend. The new entry point is therefore at $369.00. If you decide to enter this trade, the suggested stop loss is at $332.10

Buy setupBuy pointStop lossRisk
Uptrend buy setup$369.00$332.1010.00%

Should I sell Wayfair stock?

When you own stock shares with some profit, it's really difficult to decide the good moment to sell and get your profits. Similarly to when we have to buy shares, determining when is the best time to sell is not a whimsy decision, and we must adhere our own trading style. When selling, as well as buying, detailed strategies are very easy to use but are only valid for selling stocks you already own, not for selling short Wayfair stock

A golden rule is that you must never keep an open trade that produces higher than expected losses at the time of the buy. The timing to sell your stock should always be dictated by the stop-loss (automatic or manual)

Is it time to sell Wayfair stock?

Currently, Wayfair stock doesn't match any of our preferred sell setups, so if you own Wayfair stock and your operation is in profit probably is not time to sell now

Wayfair ratings

In the last month, 8 analyst ratings were published for Wayfair. General sentiment is bullish, with 6 out of 8 publishing positive forecasts

Wayfair analysts' ratings - Last 30 days
Brokerage firmRating
Feb 18th, 2021
Cowen Buy
Feb 25th, 2021
Cowen Buy
Morgan Stanley
Wells Fargo & Company
Feb 26th, 2021
Credit Suisse Group Buy
DA Davidson Strong buy
Deutsche Bank Aktiengesellschaft BuyStrong buy
Mar 1st, 2021
Truist NeutralStrong buy

Wayfair stock analysis

Since in November 2020, Wayfair has been drawing an uptrend that by now marked an amazing 51.82%. During this uptrend, the price provided some entry points on the breakouts. Latest pullback was on February 23, when price bounced at $243.43. Like in all uptrends, price needs to take breath and currently price is moving in a range between $369.00 and $243.43

SMAs overview

W stock SMAs chart

Supports and resistances

The current resistances are:

  • R1: $349.08 (4.00% above)
  • R2: $369.00 (9.94% above)
  • The current support levels are:

  • S1: $324.21 (-3.41% below)
  • S2: $304.34 (-9.33% below)
  • S3: $288.68 (-13.99% below)
  • Bollinger bands

    When the price moves out of the band (above the upper line or below the lower line) it shows that the price is currently having a very strong trend and therefore can correct the trend to the average. At this point, the price is beyond the upper band, meaning a possible short-term correction (at least) until it is below the band

    W stock Bollinger Bands chart

    Relative strength index

    The RSI dropped below the overbought level of 70 last January after just crossing to the overbough zone for just one day (weak signal). The RSI reading on Monday was 67.91. Wayfair stock rose a 1.75% since then

    W stock RSI chart

    Wayfair stock price history

    Wayfair went public priced at an adjusted price1 of $36.00 on Oct 2014. Since then, W stock surged by 832.36%, with an average of 138.73% per year. If you had invested thousand dollars in Wayfair stock on Oct 2014, it would have a value of $9,323.61 today.

    1: Adjusted price after possible price splits or reverse-splits

    W stock price history chart

    Price target for Wayfair stock

    Nobody knows how much a share will be priced tomorrow. Banks and financial organisations post their analysis forecasting how a stock will performance in the future.

    The following table shows the price predictions published by financial institutions in the last 30 days. Again, these targets are not direct recommendations for individual traders and should not be followed blindly.

    There are 7 price predictions posted for Wayfair that average $332.43. Wayfair closed at $335.65 on Monday, so the target price is forecasting a decrease by 0.96%.

    Wayfair stock price predictions
    Brokerage firmPrice target
    Feb 18th, 2021
    Cowen $360.00$375.00
    Feb 25th, 2021
    Cowen $360.00$375.00
    Morgan Stanley Not available
    Wells Fargo & Company $250.00$260.00
    Feb 26th, 2021
    Credit Suisse Group $321.00$326.00
    DA Davidson $280.00$326.00
    Deutsche Bank Aktiengesellschaft $325.00$295.00
    Mar 1st, 2021
    Truist $315.00$370.00

    Earnings and financials

    Financial call was hosted by Wayfair ($W) last Thursday after presenting the earnings report. Wayfair posted earnings of $1.24 per share on sales of $3.7 billion. The Wall St estimate was $0.86 per share on revenue of $3.8 billion.

    Same quarter last year, reported EPS was $-2.80, so recently reported EPS means an improvement of 144.29%. Turnover skyrocketed a 44.89% on an annualized basis in the , from $25.3B to $36.7B last quarter.

    Wayfair ($W) releases financial report next May. Forecasted for this quarter is $-0.08, compared to $1.24 that was reported for Q4.

    Wayfair performance

    W performance compared
    Company1m3m6m
    Wayfair ($W) 19.90% 32.10% 1.70%

    Important:
    The opinions given in this post are personal and not recommendations for you to buy or sell stocks. The author of this document does not have any knowledge of the particular conditions of the reader, his or her own financial statements or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are posted for learning purposes only

    Wayfair summary

    Monday, March 1st, 2021
    Open$293.5
    Close$335.65
    Day range$292.07 - $342.99
    Previous close$288.98
    Session gain16.15%
    Average true range$23.67
    50d mov avg$274.88
    100d mov avg$269.55
    200d mov avg$256.93
    Earnings dateMay 4th, 2021

    Frequently asked questions

    What is Wayfair stock symbol?

    Wayfair Inc. is a public company trading in the US stock market with the W symbol

    Is Wayfair stock a buy or sell?

    Wayfair received 8 ratings in the last 30 days: 6 bullish, 0 bearish and 0 neutral.

    Will W go up?

    Wayfair had different price predictions published by analysts in the last month forecasting the target price to $332.43. That is a 0.96% than the last price ($335.65).