E-commerce business is expected to grow over the long run given changing consumer behavior and the convenience of online shopping. But because the industry is also expected to grow in the near term, with people switching back to online shopping amid rising COVID-19 cases, Wall Street analysts expect e-commerce stocks ContextLogic (WISH), Overstock.com (NASDAQ:OSTK), and Poshmark (POSH) to rally by more than 50% in the coming months. So, let’s discuss these names.The e-commerce industry exploded last year as consumers turned to online platforms for purchases amid pandemic stay-at-home and social distancing mandates. Now, the industry is expected to grow at a sustainable pace over the long term given a change in consumer behavior and the convenience of online shopping.
Strong first-quarter performance fueled by government stimulus has led analysts to revise their forecast for U.S. retail e-commerce sales growth to 17.9% for 2021 from 13.7%. Furthermore, the surge of Delta variant infections is expected to renew investors’ interest in e-commerce stocks; indeed, brick-and-mortar stores have been witnessing reduced foot traffic lately.
Given this backdrop, Wall Street analysts predict popular e-commerce stocks ContextLogic Inc. (WISH), Overstock.com, Inc. (OSTK), and Poshmark, Inc. (POSH) will rally in price by more than 50% in the near term.