Wix.com Ltd. (NASDAQ:WIX) Receives Average Recommendation of "Buy" from Analysts

Key Points

• Wix.com Ltd. received an average rating of "Buy" from analysts, with 17 out of 21 ratings firms issuing buy recommendations and a 1-year target price of approximately $215.63.
• Wix's recent earnings report revealed an EPS of $2.28, surpassing analysts' expectations of $1.79, alongside a revenue of approximately $489.93 million.
• The company's Board of Directors has initiated a $200 million stock repurchase plan, a move typically indicating that management believes the stock is undervalued.

Wix.com Ltd. (NASDAQ:WIX - Get Free Report) has earned an average rating of "Buy" from the twenty-one ratings firms that are covering the company, MarketBeat Ratings reports. One research analyst has rated the stock with a hold recommendation, seventeen have issued a buy recommendation and three have assigned a strong buy recommendation to the company. The average 1-year target price among brokerages that have issued a report on the stock in the last year is $215.6316.

Several equities research analysts recently issued reports on WIX shares. Royal Bank Of Canada reaffirmed an "outperform" rating and set a $210.00 price target on shares of Wix.com in a report on Tuesday. Robert W. Baird raised shares of Wix.com from a "neutral" rating to an "outperform" rating and decreased their price target for the company from $215.00 to $190.00 in a report on Friday, May 23rd. Wall Street Zen lowered shares of Wix.com from a "strong-buy" rating to a "buy" rating in a report on Sunday, July 13th. Barclays set a $235.00 price target on shares of Wix.com and gave the company an "overweight" rating in a report on Thursday, August 7th. Finally, Cfra Research raised shares of Wix.com from a "hold" rating to a "moderate buy" rating in a report on Tuesday, August 12th.

Hedge Funds Weigh In On Wix.com

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Northwestern Mutual Wealth Management Co. increased its position in Wix.com by 63.5% in the 1st quarter. Northwestern Mutual Wealth Management Co. now owns 170 shares of the information services provider's stock valued at $28,000 after acquiring an additional 66 shares during the period. Twin Tree Management LP acquired a new position in Wix.com in the 1st quarter valued at approximately $29,000. Geneos Wealth Management Inc. increased its position in Wix.com by 632.4% in the 1st quarter. Geneos Wealth Management Inc. now owns 249 shares of the information services provider's stock valued at $41,000 after acquiring an additional 215 shares during the period. Blue Trust Inc. increased its position in Wix.com by 47.8% in the 2nd quarter. Blue Trust Inc. now owns 408 shares of the information services provider's stock valued at $65,000 after acquiring an additional 132 shares during the period. Finally, TD Private Client Wealth LLC increased its position in Wix.com by 183.3% in the 1st quarter. TD Private Client Wealth LLC now owns 476 shares of the information services provider's stock valued at $78,000 after acquiring an additional 308 shares during the period. 81.52% of the stock is currently owned by institutional investors and hedge funds.

Wix.com Trading Up 0.2%

Shares of NASDAQ:WIX opened at $126.92 on Thursday. The firm has a 50 day moving average of $146.98 and a 200-day moving average of $166.16. The stock has a market capitalization of $7.12 billion, a PE ratio of 45.17, a PEG ratio of 2.43 and a beta of 1.27. Wix.com has a 12 month low of $114.89 and a 12 month high of $247.11.

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

Wix.com announced that its Board of Directors has initiated a stock repurchase plan on Monday, August 11th that authorizes the company to buyback $200.00 million in outstanding shares. This buyback authorization authorizes the information services provider to repurchase up to 2.9% of its shares through open market purchases. Shares buyback plans are generally a sign that the company's management believes its stock is undervalued.

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.

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