Wayfair Inc's Growth Remains Strong, but Wall Street Worries About Profitability

Shareholders of Wayfair (NYSE: W) got a rude wake-up call on Thursday. The home furnishings e-tailer's third-quarter earnings report showed very strong sales growth at 39%, but the lack of any signs toward profitability -- in fact, a widening of losses -- caused Wall Street to sour on its prospects. Shares of the company were down by as much as 20% after earnings were released.

While there's still a lot to be hopeful for, the most recent quarter raises a few yellow flags that investors need to be aware of.

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Source: Fool.com