Billionaire Jim Simons’ RenTech’s 10 Small-Cap Stock Picks with Huge Upside Potential

6. Wayfair Inc. (NYSE:W)

Renaissance Technologies’ Stake Value: $169,952,441

Upside Potential as of May 1: 49.77%

Market Capitalization as of May 1: $3.957 Billion

Number of Hedge Fund Holders: 49

Wayfair Inc. (NYSE:W) is an American online retailer that sells home goods and furnishings. The company operates multiple brands including its flagship Wayfair store, as well as AllModern, Birch Lane, and Joss & Main.

The company is actively expanding its physical retail presence to complement its online operations. On April 30, 2025, the retailer revealed plans for a second large-format store in Atlanta, Georgia, set to open in 2026. This 150,000-square-foot space follows the successful launch of its first store in Wilmette, Illinois. Since this store opened in May 2024, it has contributed to sales in that state growing 15% faster than the US overall. Additionally, Wayfair (NYSE:W) introduced the “Wayfair Verified” program in March 2025. This is a new standard for product quality assurance that aims to boost customer confidence.

Wayfair Inc.’s (NYSE:W) strategic omnichannel expansion positions the company to capitalize on projected US e-commerce growth. Analysts expect the market to grow by 8.6% to reach $1.3 trillion in sales in 2025 and accelerate by another 9% in 2027 to reach $1.5 trillion in sales. Nonetheless, on April 25, 2025, RBC Capital analyst Steven Shemesh reduced Wayfair’s (NYSE:W) price target to $25 from $43 while maintaining a Sector Perform rating on the shares. The analyst cited ongoing challenges observed in site traffic data through April, which could introduce risks to second-quarter projections. This is despite projecting net sales and adjusted EBITDA slightly above current estimates.