How Did Wayfair's Annual Promotion Way Day Do This Year?
At Facteus, we don't just build data products or share eye-opening alternative data insights. We also build tools for analysts (including the first app connecting Generative AI to real-time consumer spending data) to combine data with their own knowledge.
Why is that important?
Because looking at alt data, including credit card transaction data, without thinking about the company can be dangerous.
Take Wayfair- the past week’s average daily sales were 35% higher than the prior month. After recently reporting first-quarter sales down 10% YoY, was this an inflection point to trade on?
An analyst who knows the stock would know that they just held their annual Way Day sale, a two-day event that typically bucks the trend of the surrounding weeks. More likely, that inflection point will invert in another week as sales return to normal seasonal levels. Especially now in the middle of earnings, make sure to think about that enticing data point before jumping into an early quarter trade.