Wix.com (NASDAQ:WIX) Shares Gap Up After Earnings Beat

Wix.com Ltd. (NASDAQ:WIX)’s share price gapped up before the market opened on Tuesday following a better than expected earnings announcement. The stock had previously closed at $69.75, but opened at $72.49. Wix.com shares last traded at $66.8810, with a volume of 599,432 shares.

The information services provider reported $1.42 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.40 by $0.02. Wix.com had a negative return on equity of 1.61% and a negative net margin of 8.19%. The firm had revenue of $570.17 million during the quarter, compared to analysts’ expectations of $566.27 million. During the same period in the prior year, the business earned $1.80 EPS. The company’s revenue for the quarter was up 12.9% compared to the same quarter last year.

Trending Headlines about Wix.com

Here are the key news stories impacting Wix.com this week:

• Positive Sentiment: Q3 adjusted earnings of $1.42 per share and revenue of $570.17 million exceeded consensus estimates; revenue grew 12.9% year over year. Wix tops Q3 earnings and revenue estimates
• Positive Sentiment: Management expects revenue to improve in Q4 and for the full year, offering a constructive growth signal. Wix Q3 revenue rises; outlook improves
• Negative Sentiment: Bank of America cut its rating from Buy to Underperform and lowered its price target from $75 to $68, adding pressure after a sharp prior-session decline. Bank of America rating change
• Negative Sentiment: Wix reduced its 2026 cash-flow outlook, raising concerns about the quality of growth and overshadowing the quarterly earnings beat. Wix stock, downgrade and cash-flow outlook

Wall Street Analyst Weigh In

Several analysts have commented on the stock. Benchmark restated a “buy” rating on shares of Wix.com in a report on Wednesday, August 26th. Royal Bank Of Canada upped their target price on Wix.com from $45.00 to $60.00 and gave the stock a “sector perform” rating in a report on Wednesday, August 5th. Morgan Stanley lowered Wix.com from an “overweight” rating to an “equal weight” rating and decreased their target price for the stock from $112.00 to $60.00 in a research report on Tuesday, July 21st. Bank of America cut Wix.com from a “buy” rating to an “underperform” rating and lowered their target price for the company from $75.00 to $68.00 in a research note on Tuesday. Finally, Needham & Company LLC raised their target price on Wix.com from $80.00 to $95.00 and gave the company a “buy” rating in a research note on Wednesday, September 23rd. Ten investment analysts have rated the stock with a Buy rating, ten have given a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $89.33.

Insiders Place Their Bets

In other Wix.com news, CEO Avishai Abrahami acquired 654 shares of the company’s stock in a transaction that occurred on Monday, August 31st. The shares were bought at an average cost of $59.89 per share, with a total value of $39,168.06. Following the completion of the transaction, the chief executive officer directly owned 486,225 shares of the company’s stock, valued at approximately $29,120,015.25. This represents a 0.13% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Lior Shemesh purchased 456 shares of Wix.com stock in a transaction dated Monday, August 31st. The stock was bought at an average price of $59.89 per share, with a total value of $27,309.84. Following the completion of the purchase, the chief financial officer directly owned 221,567 shares of the company’s stock, valued at approximately $13,269,647.63. This trade represents a 0.21% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. In the last three months, insiders bought 2,622 shares of company stock valued at $157,032. 6.20% of the stock is owned by company insiders.

Institutional Trading of Wix.com

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Farther Finance Advisors LLC lifted its position in shares of Wix.com by 74.1% in the third quarter. Farther Finance Advisors LLC now owns 416 shares of the information services provider’s stock valued at $30,000 after acquiring an additional 177 shares in the last quarter. Versant Capital Management Inc grew its position in shares of Wix.com by 537.6% during the third quarter. Versant Capital Management Inc now owns 542 shares of the information services provider’s stock worth $39,000 after purchasing an additional 457 shares in the last quarter. Lombard Odier Asset Management USA Corp purchased a new stake in shares of Wix.com during the first quarter worth about $210,000. State of Alaska Department of Revenue purchased a new stake in shares of Wix.com during the third quarter worth about $173,000. Finally, Arkadios Wealth Advisors bought a new stake in Wix.com during the 1st quarter valued at approximately $249,000. Hedge funds and other institutional investors own 81.52% of the company’s stock.

Wix.com Trading Down 4.2%

The firm has a 50 day moving average of $77.36 and a 200-day moving average of $70.42. The company has a market cap of $3.90 billion, a P/E ratio of -19.11, a P/E/G ratio of 38.27 and a beta of 1.06.

Wix.com Company Profile

Wix.com Ltd. is a cloud-based platform that enables individuals, businesses and organizations to create and manage websites. Its tools include customizable templates, a visual website editor and hosting, allowing users to build sites without advanced coding skills or develop more customized experiences.

The company also offers services for online businesses, including e-commerce features, appointment booking, payments, marketing tools and website analytics. Its products are designed to help customers manage multiple aspects of their online presence through one platform.

Founded in 2006, Wix is headquartered in Tel Aviv, Israel, and serves customers internationally.