Wayfair price target lowered to $80 from $106 at Citi

Citi lowered the firm’s price target on Wayfair to $80 from $106 and keeps a Buy rating on the shares. While the company’s Q3 revenue and Q4 revenue guidance were below expectations, profitability remains ahead, and top-line fundamentals are better than the headline suggests, the analyst tells investors in a research note. The firm says the revenue weakness was more driven by category wide deflationary pricing as underlying indicators like order growth beat, with Wayfair continuing to gain share. Citi believes Wayfair’s fundamentals are improving.