Wix.com (NASDAQ:WIX) Given New $73.00 Price Target at Morgan Stanley

Key Points

• Morgan Stanley raised its Wix.com price target from $65 to $73, while keeping an “Equal Weight” rating; the new target implies 5.22% upside from the previous close.
• Analyst opinion remains mixed: MarketBeat reports a consensus “Hold” rating and an average price target of $88.95, with 10 Buy, 10 Hold, and 3 Sell ratings.
• Wix beat quarterly estimates, reporting $1.42 earnings per share and $570.17 million in revenue, up 12.9% year over year.

Wix.com (NASDAQ:WIX - Get Free Report) had its price objective raised by research analysts at Morgan Stanley from $65.00 to $73.00 in a research note issued on Wednesday, Benzinga reports. The brokerage presently has an "equal weight" rating on the information services provider's stock. Morgan Stanley's price target suggests a potential upside of 5.22% from the stock's previous close.

Several other brokerages have also commented on WIX. Wells Fargo & Company lowered their price objective on shares of Wix.com from $64.00 to $63.00 and set an "equal weight" rating for the company in a report on Wednesday. Cantor Fitzgerald decreased their target price on Wix.com from $90.00 to $80.00 and set an "overweight" rating for the company in a research report on Wednesday. Evercore set a $95.00 target price on Wix.com in a research note on Tuesday, August 4th. Raymond James Financial lowered Wix.com from a "strong-buy" rating to an "outperform" rating and dropped their price target for the company from $75.00 to $70.00 in a research report on Thursday, July 30th. Finally, Jefferies Financial Group reaffirmed a "buy" rating and issued a $85.00 price target on shares of Wix.com in a research note on Tuesday. Ten 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. According to MarketBeat, Wix.com presently has an average rating of "Hold" and a consensus target price of $88.95.

Wix.com Price Performance

Wix.com stock traded up $5.00 during mid-day trading on Wednesday, reaching $69.38. 465,495 shares of the company traded hands, compared to its average volume of 1,914,144. The firm's 50 day moving average price is $76.88 and its 200 day moving average price is $70.32. The firm has a market capitalization of $4.05 billion, a price-to-earnings ratio of -19.69, a P/E/G ratio of 33.15 and a beta of 1.06. Wix.com has a 52-week low of $40.16 and a 52-week high of $135.00.

Wix.com (NASDAQ:WIX - Get Free Report) last issued its quarterly earnings data on Tuesday, November 10th. The information services provider reported $1.42 EPS for the quarter, topping the consensus estimate of $1.40 by $0.02. The business had revenue of $570.17 million during the quarter, compared to analyst estimates of $566.27 million. Wix.com had a negative net margin of 8.19% and a negative return on equity of 1.61%. The company's revenue for the quarter was up 12.9% on a year-over-year basis. During the same period in the prior year, the business earned $1.80 EPS. On average, sell-side analysts anticipate that Wix.com will post 0.24 EPS for the current year.

Insiders Place Their Bets

In other Wix.com news, Director Ron Gutler sold 5,718 shares of the firm's stock in a transaction that occurred on Thursday, August 27th. The shares were sold at an average price of $85.42, for a total transaction of $488,431.56. Following the completion of the transaction, the director owned 15,631 shares of the company's stock, valued at approximately $1,335,200.02. This trade represents a 26.78% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Avishai Abrahami bought 654 shares of the stock in a transaction dated Monday, August 31st. The shares were acquired at an average price of $59.89 per share, with a total value of $39,168.06. Following the completion of the acquisition, the chief executive officer directly owned 486,225 shares of the company's stock, valued at approximately $29,120,015.25. The trade was a 0.13% increase in their position. The SEC filing for this purchase provides additional information. In the last quarter, insiders have bought 2,622 shares of company stock valued at $157,032. Insiders own 6.20% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the stock. Farther Finance Advisors LLC increased its holdings in shares of Wix.com by 74.1% during 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 raised its position in shares of Wix.com by 537.6% in the 3rd 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 during the last quarter. Advisors Asset Management Inc. bought a new position in Wix.com in the 3rd quarter worth about $53,000. State of Alaska Department of Revenue bought a new position in Wix.com in the 3rd quarter worth about $173,000. Finally, Signaturefd LLC grew its position in Wix.com by 78.9% during the 3rd quarter. Signaturefd LLC now owns 2,877 shares of the information services provider's stock valued at $208,000 after purchasing an additional 1,269 shares during the last quarter. Hedge funds and other institutional investors own 81.52% of the company's stock.

Key Stories Impacting Wix.com

Investors following WIX have been watching these stories:

• Positive Sentiment: Q3 revenue was $570.17 million, up 12.9% year over year and ahead of estimates; adjusted earnings of $1.42 per share also topped consensus. Wix Q3 results
• Neutral Sentiment: Analyst views are mixed: Cantor Fitzgerald lowered its target from $90 to $80 but maintained an Overweight rating, while Wells Fargo and RBC retained neutral-equivalent ratings with lower targets.
• Negative Sentiment: Recent target cuts reinforce caution: RBC lowered its target to $58, Wells Fargo to $63, and JPMorgan to $59; Bank of America also downgraded WIX to Underperform. These actions suggest some analysts see limited near-term upside relative to execution and cash-flow risks.

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.

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