Mitsubishi UFJ Asset Management Co. Ltd. Raises Stake in Wix.com Ltd. (NASDAQ:WIX)

Key Points

• Mitsubishi UFJ Asset Management Co. Ltd. increased its holdings in Wix.com by 18.5% in Q1, owning 41,327 shares valued at approximately $6.75 million.
• Wix.com reported earnings of $2.28 EPS, exceeding analysts' expectations, and its revenue increased by 12.4% year-over-year.
• The company has authorized a $200 million stock buyback program, indicating management's belief that its shares are undervalued.

Mitsubishi UFJ Asset Management Co. Ltd. increased its stake in Wix.com Ltd. (NASDAQ:WIX - Free Report) by 18.5% in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 41,327 shares of the information services provider's stock after purchasing an additional 6,438 shares during the quarter. Mitsubishi UFJ Asset Management Co. Ltd. owned 0.07% of Wix.com worth $6,752,000 at the end of the most recent quarter.

A number of other large investors have also made changes to their positions in the stock. Durable Capital Partners LP purchased a new position in shares of Wix.com in the fourth quarter valued at $89,839,000. Whale Rock Capital Management LLC increased its holdings in Wix.com by 55.1% during the 4th quarter. Whale Rock Capital Management LLC now owns 1,071,565 shares of the information services provider's stock valued at $229,904,000 after acquiring an additional 380,800 shares in the last quarter. Assenagon Asset Management S.A. increased its holdings in Wix.com by 1,209.4% during the 1st quarter. Assenagon Asset Management S.A. now owns 344,713 shares of the information services provider's stock valued at $56,319,000 after acquiring an additional 318,387 shares in the last quarter. Senvest Management LLC increased its holdings in Wix.com by 27.3% during the 4th quarter. Senvest Management LLC now owns 1,422,793 shares of the information services provider's stock valued at $305,260,000 after acquiring an additional 304,712 shares in the last quarter. Finally, Two Sigma Investments LP increased its holdings in Wix.com by 93.8% during the 4th quarter. Two Sigma Investments LP now owns 345,389 shares of the information services provider's stock valued at $74,103,000 after acquiring an additional 167,143 shares in the last quarter. Hedge funds and other institutional investors own 81.52% of the company's stock.

Wix.com Stock Performance

Wix.com stock traded up $3.40 during trading on Wednesday, reaching $120.73. The company had a trading volume of 1,886,503 shares, compared to its average volume of 1,368,844. Wix.com Ltd. has a 12-month low of $114.89 and a 12-month high of $247.11. The stock's 50 day moving average price is $149.91 and its two-hundred day moving average price is $170.14. The firm has a market capitalization of $6.77 billion, a price-to-earnings ratio of 42.96, a PEG ratio of 1.88 and a beta of 1.27.

Wix.com (NASDAQ:WIX - Get Free Report) last announced its quarterly earnings data on Wednesday, August 6th. The information services provider reported $2.28 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.79 by $0.49. Wix.com had a net margin of 8.90% and a negative return on equity of 136.43%. The company had revenue of $489.93 million during the quarter, compared to analysts' expectations of $487.62 million. During the same period in the previous year, the company earned $1.67 EPS. The business's quarterly revenue was up 12.4% compared to the same quarter last year. As a group, research analysts expect that Wix.com Ltd. will post 3.65 earnings per share for the current year.

Wix.com announced that its board has initiated a share buyback plan on Monday, August 11th that permits the company to buyback $200.00 million in shares. This buyback authorization permits the information services provider to reacquire up to 2.9% of its shares through open market purchases. Shares buyback plans are usually an indication that the company's management believes its shares are undervalued.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on WIX. Robert W. Baird raised shares of Wix.com from a "neutral" rating to an "outperform" rating and dropped their price objective for the stock from $215.00 to $190.00 in a research note on Friday, May 23rd. Morgan Stanley dropped their price target on Wix.com from $276.00 to $207.00 and set an "overweight" rating for the company in a research report on Wednesday, April 16th. Bank of America dropped their price target on Wix.com from $270.00 to $230.00 and set a "buy" rating for the company in a research report on Wednesday, May 21st. JMP Securities cut their target price on shares of Wix.com from $250.00 to $160.00 and set a "market outperform" rating for the company in a research note on Monday. Finally, Wall Street Zen lowered shares of Wix.com from a "strong-buy" rating to a "buy" rating in a report on Sunday, July 13th. Two analysts have rated the stock with a hold rating, eighteen have issued a buy rating and three have given a strong buy rating to the company's stock. According to data from MarketBeat, Wix.com currently has a consensus rating of "Buy" and an average target price of $213.53.

About Wix.com

Wix.com Ltd., together with its subsidiaries, operates as a cloud-based web development platform for registered users and creators worldwide. The company offers Wix Editor, a drag-and-drop visual development and website editing environment platform; and Wix ADI that enables users to have the freedom of customization that the classic editor offers.