Skip to content

Wayfair W Return on equity

Discontinued — last reported Q3 '17

Return on equity at other companies

Target logo
TargetTGT
22%-7.1pp
Walmart
 logo
Walmart WMT
25.5%+2.7pp
Home Depot logo
Home DepotHD
128.4%-171pp
Williams-Sonoma logo
Williams-SonomaWSM
54%+3.8pp
Amazon logo
AmazonAMZN
21.1%-4.1pp
Burlington Stores logo
Burlington StoresBURL
39.1%-5.0pp

Other financials

Income statement

See full
Revenue$2.9B+7.4%
Gross profit$880.0M+5.1%
Operating income-$11.0M+91.0%
Net income-$105.0M+7.1%
EPS (diluted)-$0.80+10.1%

Balance sheet

See full
Cash & equivalents$1.0B-25.0%
Total debt$3.6B-7.1%
Total equity-$2.8B-1.2%
Total assets$2.9B-16.1%

Cash flow

See full
Operating cash flow-$52.0M+45.8%
CapEx$25.0M+400%
Free cash flow-$77.0M+23.8%

Valuation

See full
Market cap$11.68B+142%
Enterprise value$14.32B+87.7%
P/S0.9×+0.5×

Profitability

See full
Gross margin30.1%-0.2pp
Operating margin1%+0.6pp
Net margin-2.4%-0.4pp
FCF margin3.9%+1.4pp

Returns & leverage

See full
Debt / equity135.6×
Current ratio0.8×-0.1×

Where this comes from

Calculated from Wayfair’s reported figures.

Based on trailing twelve months.

The official record: Wayfair’s 10-Q, filed November 1, 2018, on SEC EDGAR. View the filing →

Questions, answered.

What does return on equity mean?
How much profit the company earns on the money shareholders have invested.
How do you interpret return on equity?
Higher is better, but very high ROE can be manufactured by leverage — a thin equity base inflates the ratio. Read it next to debt-to-equity and ROIC to tell genuine returns from balance-sheet engineering.
How does return on equity compare across companies?
Comparable across peers, with the leverage caveat. Negative or near-zero equity makes ROE meaningless, so it is suppressed there.