Wix.com (NASDAQ:WIX) Cut to Underperform at Bank of America

Bank of America downgraded shares of Wix.com (NASDAQ:WIX) from a buy rating to an underperform rating in a research note released on Tuesday morning, MarketBeat Ratings reports. Bank of America currently has $68.00 price objective on the information services provider’s stock, down from their previous price objective of $75.00.

Several other brokerages also recently weighed in on WIX. Jefferies Financial Group reiterated a “buy” rating and issued a $85.00 price target on shares of Wix.com in a report on Tuesday. Weiss Ratings raised shares of Wix.com from a “sell (d)” rating to a “sell (d+)” rating in a research report on Friday, September 11th. Wall Street Zen raised Wix.com from a “hold” rating to a “buy” rating in a research note on Saturday, October 31st. Cantor Fitzgerald lifted their target price on Wix.com from $80.00 to $90.00 and gave the stock an “overweight” rating in a research report on Monday, October 19th. Finally, Morgan Stanley cut Wix.com from an “overweight” rating to an “equal weight” rating and reduced their price target for the company from $112.00 to $60.00 in a report on Tuesday, July 21st. Ten equities research analysts have rated the stock with a Buy rating, ten have issued a Hold rating and three have issued a Sell rating to the company’s stock. According to MarketBeat, Wix.com has an average rating of “Hold” and a consensus price target of $89.52.

Wix.com Stock Down 3.6%

Wix.com stock opened at $65.90 on Tuesday. The company has a market capitalization of $3.84 billion, a P/E ratio of -17.12, a PEG ratio of 45.22 and a beta of 1.06. Wix.com has a twelve month low of $40.16 and a twelve month high of $134.09. The stock’s 50 day moving average is $76.07 and its 200 day moving average is $70.10.

Wix.com (NASDAQ:WIX) last announced its earnings results on Tuesday, November 10th. The information services provider reported $1.42 earnings per share for the quarter, beating analysts’ consensus estimates of $1.40 by $0.02. Wix.com had a negative net margin of 8.54% and a negative return on equity of 1.61%. The business had revenue of $570.17 million during the quarter, compared to analyst estimates of $566.27 million. During the same period in the previous year, the business earned $1.80 EPS. The company’s quarterly revenue was up 12.9% compared to the same quarter last year. As a group, equities analysts expect that Wix.com will post 0.24 EPS for the current year.

Insiders Place Their Bets

In other Wix.com news, CFO Lior Shemesh purchased 456 shares of the firm’s stock in a transaction on Monday, August 31st. The shares were purchased at an average price of $59.89 per share, for a total transaction 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 represents a 0.21% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Avishai Abrahami acquired 654 shares of the firm’s stock in a transaction on Monday, August 31st. The shares were bought at an average cost of $59.89 per share, for a total transaction of $39,168.06. Following the acquisition, the chief executive officer owned 486,225 shares in the company, valued at approximately $29,120,015.25. The trade was a 0.13% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders acquired 2,622 shares of company stock valued at $157,032 in the last three months. Company insiders own 6.20% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the stock. Advisors Asset Management Inc. bought a new stake in Wix.com in the third quarter valued at approximately $53,000. Proem Advisors LLC raised its stake in shares of Wix.com by 23.7% during the 3rd quarter. Proem Advisors LLC now owns 117,500 shares of the information services provider’s stock valued at $8,475,000 after purchasing an additional 22,500 shares during the period. Landscape Capital Management L.L.C. purchased a new stake in shares of Wix.com in the 3rd quarter valued at about $3,743,000. Virtus Advisers LLC purchased a new stake in Wix.com in the third quarter worth approximately $1,328,000. Finally, Diversified Trust Co bought a new position in Wix.com during the 3rd quarter worth approximately $379,000. 81.52% of the stock is owned by institutional investors.

Latest Wix.com News

Here’s some of the latest news about WIX:

• Positive Sentiment: Wix beat Q3 earnings and revenue estimates, with revenue up 12.9% year over year. Analysts also highlighted stronger growth and improving margins. Wix: Stronger Growth, Better Margins, Same Discount
• Positive Sentiment: Base44’s annual recurring revenue reportedly neared $250 million within two years of its acquisition, with nearly 60% non-GAAP gross margin in Q3. Wix also unveiled Studio Two for AI-native website creation, adding to its AI growth opportunity. Wix.com: 3 Key Takeaways for Long-Term Investors Wix Unveils Studio Two
• Negative Sentiment: Bank of America downgraded Wix, warning that AI-related gains could be masking a slowdown among partners. Commentary also flags slower core sales, raising questions about whether AI growth can offset softer performance in Wix’s established channels. BofA downgrades Wix as AI gains mask partner slowdown Can Wix Stay Reasonable as Base44 Growth Meets Slower Core Sales?

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.