Wix.com (NASDAQ:WIX) Releases Earnings Results, Misses Estimates By $0.53 EPS

Wix.com (NASDAQ:WIX) posted its quarterly earnings data on Wednesday. The information services provider reported $0.68 EPS for the quarter, missing analysts’ consensus estimates of $1.21 by ($0.53), FiscalAI reports. The firm had revenue of $541.17 million for the quarter, compared to analysts’ expectations of $544.04 million. Wix.com had a negative net margin of 1.97% and a negative return on equity of 28.32%. The firm’s revenue was up 14.2% compared to the same quarter last year. During the same quarter last year, the company posted $1.69 EPS.

Here are the key takeaways from Wix.com’s conference call:

• Wix said Q1 bookings rose 15% year over year to $585 million and revenue increased 14% to $541 million, with free cash flow of $112 million. Management said growth was driven by healthy new-user cohorts, retention in core Wix, and continued strength at Base44.
• The company highlighted early success with its AI strategy, including the rollout of Wix Harmony and a newly built proprietary LLM that it says is faster, lower cost, and produces better design outcomes. Management expects its own models to reduce inference costs and support a broader portfolio of proprietary AI tools.
• Base44 remained a major growth driver, reaching $150 million in ARR by mid-May after hitting $100 million in early March. Wix said it is seeing improving retention, stronger monetization, and some early overlap between Base44 and its partner audience, though management stressed the business is still early.
• The Partners business grew 19% year over year but slowed more than expected because Wix had pulled back on partner-focused marketing and because product timelines were delayed by productivity disruption from the war in Israel. Management expects Partners to remain a drag until product updates and marketing are realigned.
• Wix maintained full-year guidance for mid-teens bookings and revenue growth and expects full-year free cash flow margin to be in the high teens excluding acquisition-related expenses. Management also said the share repurchase program was completed, shrinking the equity base by nearly 30%.

Wix.com Trading Up 1.3%

WIX opened at $53.39 on Friday. The firm has a market cap of $3.11 billion, a price-to-earnings ratio of -68.06, a PEG ratio of 1.63 and a beta of 1.01. The stock’s 50-day moving average price is $80.09 and its 200 day moving average price is $91.56. Wix.com has a 12-month low of $51.60 and a 12-month high of $190.93.

Institutional Investors Weigh In On Wix.com

Several large investors have recently bought and sold shares of WIX. Corient Private Wealth LLC increased its holdings in Wix.com by 43.3% in the fourth quarter. Corient Private Wealth LLC now owns 6,541 shares of the information services provider’s stock valued at $680,000 after buying an additional 1,978 shares during the last quarter. Alberta Investment Management Corp purchased a new position in Wix.com during the 4th quarter worth $1,039,000. Mackenzie Financial Corp grew its holdings in shares of Wix.com by 61.2% during the fourth quarter. Mackenzie Financial Corp now owns 16,773 shares of the information services provider’s stock worth $1,731,000 after buying an additional 6,366 shares during the last quarter. Sphera Management Technology Funds Ltd lifted its stake in shares of Wix.com by 92.3% in the 4th quarter. Sphera Management Technology Funds Ltd now owns 25,000 shares of the information services provider’s stock worth $2,597,000 after acquiring an additional 12,000 shares during the period. Finally, Numerai GP LLC acquired a new stake in Wix.com in the fourth quarter valued at about $1,285,000. Hedge funds and other institutional investors own 81.52% of the company’s stock.

Analyst Upgrades and Downgrades

Several research analysts have weighed in on the stock. Piper Sandler initiated coverage on shares of Wix.com in a research report on Thursday, March 12th. They issued a “neutral” rating and a $98.00 price target on the stock. Wall Street Zen downgraded Wix.com from a “buy” rating to a “hold” rating in a research report on Sunday, March 8th. Robert W. Baird downgraded shares of Wix.com from an “outperform” rating to a “neutral” rating and cut their target price for the company from $115.00 to $90.00 in a research report on Monday, March 9th. Barclays dropped their price objective on shares of Wix.com from $155.00 to $100.00 and set an “overweight” rating on the stock in a research note on Thursday. Finally, Scotiabank lowered their target price on Wix.com from $135.00 to $110.00 and set an “outperform” rating for the company in a report on Thursday. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, eight have assigned a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $103.30.

Trending Headlines about Wix.com

Here are the key news stories impacting Wix.com this week:

• Positive Sentiment: Wix said Q1 revenue rose 14% year over year to $541.2 million, and it reiterated expectations for mid-teens growth in both revenue and bookings for 2026. Article Title
• Positive Sentiment: The company also highlighted its proprietary AI model and announced a major share buyback, which support the long-term growth and capital-return story. Article Title
• Neutral Sentiment: Several brokers still maintain positive or constructive ratings, but they lowered price targets after the Q1 miss, reflecting a more cautious outlook rather than a full reversal in conviction. Article Title
• Neutral Sentiment: Cantor Fitzgerald, Needham, Benchmark, Scotiabank, and JPMorgan all trimmed their targets in the wake of the results, signaling reduced near-term expectations for the stock. Article Title
• Neutral Sentiment: One new negative headline is an announced securities-fraud investigation related to alleged misstatements about AI demand, which could add overhang if it gains traction. Article Title
• Negative Sentiment: Q1 EPS came in at $0.68 versus $1.21 expected, and margin pressure remains the key reason investors are selling the stock. Article Title
• Negative Sentiment: Analysts also cut outlooks sharply after the miss, including JPMorgan lowering its target to $86 and Wells Fargo downgrading the shares to equal weight, reinforcing the bearish tone. Article Title

Wix.com announced that its board has initiated a stock buyback plan on Wednesday, January 28th that permits the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization permits the information services provider to reacquire up to 40.5% of its stock through open market purchases. Stock repurchase plans are often a sign that the company’s management believes its shares are undervalued.

Wix.com Company Profile

Wix.com Ltd. operates a cloud-based platform that enables individuals and businesses to create, manage and develop professional web presences through an intuitive drag-and-drop interface. The company’s software-as-a-service model provides hosting, customizable templates and a range of design tools, eliminating the need for coding expertise. Users can choose from a variety of premium plans to access custom domains, enhanced storage, and advanced performance features tailored to personal projects, small businesses and online storefronts.

Beyond its core website builder, Wix offers a suite of complementary services designed to support digital growth and marketing.