Wix.com (NASDAQ:WIX) Posts Quarterly Earnings Results, Beats Expectations By $0.49 EPS

Key Points

• Wix.com reported earnings of $2.28 per share, exceeding estimates by $0.49, with quarterly revenue of $489.93 million, up 12.4% year-over-year.
• Despite positive earnings, shares of Wix.com traded down to $122.85, with analysts adjusting target prices, ranging from $190 to $230.
• Institutional investors hold 81.52% of Wix's stock, with significant holdings increases from firms like Geneos Wealth Management and AQR Capital Management.

Wix.com (NASDAQ:WIX - Get Free Report) issued its earnings results on Wednesday. The information services provider reported $2.28 earnings per share for the quarter, beating the consensus estimate of $1.79 by $0.49, Briefing.com reports. The business had revenue of $489.93 million for the quarter, compared to the consensus estimate 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 quarterly revenue was up 12.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.67 earnings per share.

Wix.com Price Performance

WIX traded down $10.64 during midday trading on Friday, reaching $122.85. 2,136,492 shares of the company's stock were exchanged, compared to its average volume of 1,177,739. The stock has a market capitalization of $6.89 billion, a PE ratio of 43.72, a P/E/G ratio of 2.14 and a beta of 1.27. The business's 50-day moving average price is $151.92 and its 200 day moving average price is $172.58. Wix.com has a 1-year low of $121.84 and a 1-year high of $247.11.

Analysts Set New Price Targets

Several brokerages have recently weighed in on WIX. Bank of America lowered their target price on shares of Wix.com from $270.00 to $230.00 and set a "buy" rating on the stock in a report on Wednesday, May 21st. Robert W. Baird raised shares of Wix.com from a "neutral" rating to an "outperform" rating and lowered their target price for the company from $215.00 to $190.00 in a report on Friday, May 23rd. Wall Street Zen downgraded shares of Wix.com from a "strong-buy" rating to a "buy" rating in a report on Sunday, July 13th. UBS Group lowered their target price on shares of Wix.com from $230.00 to $200.00 and set a "buy" rating on the stock in a report on Thursday. Finally, Piper Sandler lowered their target price on shares of Wix.com from $262.00 to $225.00 and set an "overweight" rating on the stock in a report on Thursday, May 22nd. Two analysts have rated the stock with a hold rating, eighteen have given a buy rating and three have given a strong buy rating to the company. Based on data from MarketBeat, Wix.com presently has an average rating of "Buy" and an average target price of $218.26.

Hedge Funds Weigh In On Wix.com

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Woodline Partners LP grew its holdings in Wix.com by 9.7% in the first quarter. Woodline Partners LP now owns 2,292 shares of the information services provider's stock valued at $374,000 after purchasing an additional 202 shares during the period. Geneos Wealth Management Inc. grew its holdings in Wix.com by 632.4% in the first quarter. Geneos Wealth Management Inc. now owns 249 shares of the information services provider's stock valued at $41,000 after purchasing an additional 215 shares during the period. Cetera Investment Advisers grew its holdings in Wix.com by 18.9% in the second quarter. Cetera Investment Advisers now owns 1,853 shares of the information services provider's stock valued at $294,000 after purchasing an additional 295 shares during the period. Finally, AQR Capital Management LLC grew its holdings in Wix.com by 36.6% in the first quarter. AQR Capital Management LLC now owns 1,627 shares of the information services provider's stock valued at $266,000 after purchasing an additional 436 shares during the period. Institutional investors and hedge funds own 81.52% of the company's stock.

Wix.com Company Profile

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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