Why Wayfair Stock Declined as Much as 10% Monday
Shares of Wayfair (NYSE: W), an e-commerce business selling over 14 million products spanning furniture, decor, and housewares, among others, declined as much as 10% Monday after a Wall Street analyst turned bearish.
Morgan Stanley analyst Simeon Gutman downgraded Wayfair from equal weight to underweight while moving the price target from $75 down to $65. The move comes almost exactly a month following a downgrade from Loop Capital, and a couple of weeks after Wayfair was reported to have laid off 550 employees due to growing too fast and being inefficient. In a note to investors, Gutman said: "Our channel checks suggest W's revenue growth is still decelerating, and macro headwinds are rising. We are reducing our 2020 revenue estimates to reflect higher risk."
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Source Fool.com
