Shares of Wayfair (NYSE:W) were surging again on Thursday, after the Senate's approval of a $2 trillion economic rescue package gave investors hope that couch-bound Americans might soon start spending again.
As of 12:00 p.m. EDT, Wayfair's shares were up about 17.5% from Wednesday's closing price.
Wayfair's shares have been on a tear, more than doubling since last week as details of the economic rescue package became clear and the bill moved closer to approval.
Unlike most of its brick-and-mortar rivals, Wayfair makes nearly all its sales of furniture and home goods online. (The company has just two physical stores.) Its shares were highfliers for a while, but layoffs in February and a disappointing earnings report had them sinking even before the scale of the coronavirus pandemic's disruptions in the U.S. became clear to investors.
For the moment, the mood has swung to optimism that Wayfair can get back to its fast-growing ways before too long. But will that optimism last?
I think it's fair to say that things look better now than they did a week ago. But there's still a lot of uncertainty ahead: While Wayfair's shares were probably a bargain at $25, it's not clear that they're still a great buy at $60 or more.