Shares of Wayfair (NYSE:W) surged over 12% at the time of writing after it reported earnings for its first quarter of Fiscal Year 2023. Adjusted earnings per share came in at -$1.13, which beat analysts’ consensus estimate of -$1.71 per share.
Sales decreased by 6.7% year-over-year, with revenue hitting $2.8 billion. This was $60 million above expectations. Although LTM net revenue per customer increased 6.2% year-over-year to $552, active customers fell 14.6% to 21.7 million.
Looking forward, management now expects adjusted EBITDA to be positive in the second quarter, which can be attributed to the company’s efforts in reducing its cost structure.
Overall, Wall Street analysts have a consensus price target of $47.52 on Wayfair stock, implying over 35% upside potential, as indicated by the graphic above.
