Wayfair stock soars 13% after results swing to a profit

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Wayfair Inc. stock soared 13.1% in Tuesday premarket trading after the e-commerce home retailer reported third-quarter earnings that beat expectations. Net income totaled $173.2 million, or $1.67 per share, after a loss of $272.0 million, or $2.94 per share, last year. Adjusted EPS of $2.30 blew past the FactSet consensus for 82 cents. Revenue of $3.84 billion was up from $2.31 billion last year and ahead of the FactSet consensus of $3.66 billion. “Category momentum is vibrant, demand is moving online at an accelerated pace, and we expect the home to be even more important than usual when it comes to celebrating the holidays this year,” said Niraj Shah, chief executive of the company, in a statement. The number of direct customers rose 50.9% to 28.8 million during the quarter. Repeat customers placed 71.9% of orders, or 11.3 million, during the third quarter. And the average order value was $243, down from $252 year-over-year. Wayfair stock has nearly tripled, up 182.9%, for the year to date while the S&P 500 index has gained 2.5% for the period.
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