Wayfair Inc (NYSE:W)’s stock jumped today after the company posted its financial results for the second quarter and managed to beat the estimates. The online retailer reported a net loss of $19.3 million or $0.23 per share for the second quarter, significantly better than the Street’s expectation of $0.29. Its revenue went up by an annual 66% to $491.8 million, above the consensus estimate of $438.5 million. Wayfair Inc (NYSE:W) also stated it had 4 million active customers at the end of June, an increase of 53.5% on the year. On the back of the news the stock advanced by more than 20% and has appreciated by 130% since the beginning of the year. In this article we will take a look at what hedge funds think about Wayfair and whether it is a good stock to buy based on their sentiment.
At the end of the first quarter, a total of 15 hedge funds tracked by Insider Monkey held long positions in Wayfair Inc (NYSE:W) with an aggregate investment worth $146.2 million, which represented 5.5% of the company’s outstanding stock. However, there were 14 hedge funds with $62.7 million worth of stock at the end of 2014. Considering the fact that Wayfair Inc (NYSE:W) stock appreciated around 60% during the January – March period, it still looks like hedge funds on average raised their stakes in the company during the same period.
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