What happened Shares of online retailer Overstock.com (NASDAQ: OSTK) rose dramatically in early trading on Thursday and were up by nearly 20% in the first hour or so of trading. There's no question what drove investor enthusiasm, as the company released its third-quarter earnings report. So what Overstock's earnings per share came in at $0.63, well above analyst expectations of $0.47. This is important because sales were lower by 4% year over year, dropping from roughly $718 million in the third quarter of 2020 to $689 million in the same period this year. But that has to be put into context, because 2020's sales results were driven by a consumer shift toward online shopping during the pandemic. Image source: Getty Images. What's interesting is that Overstock's active customer count increased 5% year over year, suggesting that new customers who found the online shopping site during the pandemic have stuck around. That said, the average orders delivered were down 22%, but that makes sense given that the global economy has been, perhaps haltingly and slowly, reopening. Notably, the average order size was up 24%, and half of the company's orders came from a mobile device. All things considered, even given the top-line drop and decline in deliveries, Overstock's third quarter was a good one. Now what Shareholders were right to be pleased with today's results. But context is important with the stock price, too. Since the start of 2020, before the pandemic hit, the company's shares are up over 1,200%. That's a massive price move in a fairly short period, with some pretty wild ups and downs along the way, suggesting that some caution is probably in order here. 10 stocks we like better than Overstock.comWhen our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Overstock.com wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 20, 2021 Reuben Gregg Brewer has no position in any of the stocks mentioned. The Motley Fool recommends Overstock.com. The Motley Fool has a disclosure policy.Source