03:13 PM EDT, 04/24/2024 (MT Newswires) -- Wayfair's ( W ) Q1 net sales growth is likely to decline by 8.6%, based on the company's website traffic data, which was down 7.2% in the March quarter, RBC Capital Markets said in an earnings preview Wednesday.

The firm, which had previously estimated a quarterly decline of 4.3%, said softness had also crept into Q2 as website traffic data through April 20 showed a decline of 7.5%.

As a result, the firm lowered its Q2 net sales growth estimates to negative 4.8% compared to 1.9% previously.

"We believe much of the current demand softness is already reflected in the current stock price," the firm said in the note.

RBC's Q1 and Q2 expectations of an 8.6% and 4.8% decline compare with the consensus of negative 4.6% and negative 2.2%, respectively.

The firm slashed its price target to $61 from $62 with a sector perform rating.

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