RBC Capital analysts provided their outlook on Wayfair Inc. (NYSE:W) ahead of the company’s Q4 earnings release tomorrow. The analysts expect Q4 net sales of $3.0 billion (in-line with consensus) and EBITDA of -$98 million (vs. consensus of -$72 million).
Between company updates suggesting sequential top-line improvement throughout the quarter and cost savings progress, the analysts think the consensus bar is achievable. And while Q4 results could move the stock, the analysts expect quarter-to-date gross revenue trends and additional cost savings color to be the primary drivers of future share performance.
With shares outperforming the market by around 50% year-to-date and an uncertain rate outlook, the analysts don't like the setup into the print and maintained their Sector Perform rating and $39 price target.