Wayfair in the M&A spotlight

|By:, SA News Editor

Shares of Wayfair (NYSE:W) jumped 4% yesterday after Wedbush called the company an attractive M&A target.

The lush price paid by PetSmart for Chewy.com caught the attention of the firm as has the aggressive acquisition spree by Wal-Mart of pure play e-commerce firms (Bonobos, Modcloth, Shoebuy, Moosejaw, Jet.com).

Wedbush analyst Seth Basham's list of potential acquirers for Wayfair include Bed Bath & Beyond (NASDAQ:BBBY), Target (NYSE:TGT), Wal-Mart (NYSE:WMT), Home Depot (NYSE:HD), Lowe's (NYSE:LOW), Amazon (NASDAQ:AMZN) and Steinhoff (OTC:SNHFF, OTCPK:SNHFY, OTC:STNHY).

Another completely different take on Wayfair is offered up by noted short seller Andrew Left of Citron Research. Left maintains that the company has serious accounts payable issues. "As Wayfair's revenue growth slows, I would expect the trend in accounts payable and accrued liabilities growth will reverse, hurting their operating cash flow trends," he wrote in a recent report.

Wayfair short interest report

Wayfair is down 0.39% premarket to $45.50 vs. a 52-week trading range of $27.60 to $49.34.