WISH Stock Is Stumbling. Where Does Wall Street Think It Will Go Next?

Shares of ContextLogic (NASDAQ:WISH) are slumping 8% today after the e-commerce company reported disappointing earnings driven by slow holiday sales.

The logo and information for the Wish (WISH stock) mobile app are displayed on a smartphone.
Source: sdx15 / Shutterstock.com

ContextLogic reported fourth-quarter revenue of $289 million, which was a decrease of 64% from a year earlier. Its Q4 net loss amounted to $58 million, or 9 cents per share, compared to a loss of $3.04 a share in the fourth quarter of 2020.

While the net loss was an improvement, the revenue decline during what is typically the busiest time of the year for retailers did not inspire confidence in ContextLogic. Before today’s decline, WISH stock had fallen 30% year to date to $2.27 a share. In the past year, the share price has fallen 88%.

So where do analysts see the stock headed moving forward? Here are three analyst price predictions.

WISH Stock Price Predictions

  • Citigroup has a “hold” rating on WISH stock and a $5.50 price target, suggesting 160% upside from current levels.
  • Cowen has a “hold” rating on ContextLogic’s stock with a $6 price target, which would be 190% higher than where the share price currently sits.
  • Bank of America has a “sell” rating on WISH stock, but maintains a $5 price target on the shares, which is 140% above the current level.

 What’s Next for ContextLogic

Analyst ratings and their price predictions appear to be all over the map when it comes to WISH stock. This is not surprising given the sharp downturn in ContextLogic’s share price over the last 12 months. Currently, the average price target on the stock is $2.50, implying 20% upside.

However, given that the stock is falling further today, investors may want to wait until the shares find a bottom before taking a position.

On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Joel Baglole has been a business journalist for 20 years. He spent five years as a staff reporter at The Wall Street Journal, and has also written for The Washington Post and Toronto Star newspapers, as well as financial websites such as The Motley Fool and Investopedia.

Article printed from InvestorPlace Media, https://investorplace.com/2022/03/wish-stock-is-stumbling-where-does-wall-street-think-it-will-go-next/.

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