Wix.com (NASDAQ:WIX) Issues Earnings Results, Beats Estimates By $0.45 EPS

Wix.com (NASDAQ:WIX) posted its quarterly earnings results on Wednesday. The information services provider reported $1.81 EPS for the quarter, beating the consensus estimate of $1.36 by $0.45, FiscalAI reports. The company had revenue of $524.27 million for the quarter, compared to analyst estimates of $527.69 million. Wix.com had a net margin of 7.20% and a negative return on equity of 102.59%. The firm’s revenue was up 13.9% on a year-over-year basis. During the same period in the prior year, the company earned $2.10 earnings per share.

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

• Wix Harmony — launched in English and expanding globally, with early results showing higher conversion, ARPU and monetization; management plans to make Harmony the default experience to drive long‑term conversion, engagement, retention and monetization.
• Base44 is scaling exceptionally fast — organic adoption is strong (including enterprise use without a sales team), new‑user growth is ~two‑thirds of Wix’s rate, and Base44 recently reached about $100 million ARR, creating a materially larger TAM and a new growth engine.
• Solid financials and capital actions — Q4 bookings $535M (+15% YoY), FY revenue $1.993B (+13%) and consolidated ARR $1.836B (+14%); management guides to mid‑teens % revenue/bookings growth in 2026, plans to aggressively pursue the $2B repurchase program, and completed a $250M equity investment from Durable Capital.
• Elevated AI costs and margin variability — Base44 is incurring front‑loaded AI inference costs (≈1/3 attributed to free users) and management warns rapid Base44 investment could pressure near‑term free cash flow and widen guidance ranges, though they expect margins to improve via model optimization and better pricing.

Wix.com Price Performance

NASDAQ WIX traded up $10.49 during trading hours on Wednesday, hitting $84.85. 3,652,566 shares of the company’s stock traded hands, compared to its average volume of 2,274,746. The firm’s 50-day moving average is $83.94 and its 200-day moving average is $116.39. Wix.com has a 52-week low of $60.22 and a 52-week high of $197.85. The company has a market capitalization of $4.76 billion, a PE ratio of 36.32, a PEG ratio of 2.25 and a beta of 1.39.

Wix.com News Roundup

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

• Positive Sentiment: Company announced a $250 million private placement led by Durable Capital, signaling outside conviction in Wix’s strategy and providing balance‑sheet flexibility. Wix rises after mixed Q4, announces $250M private placement
• Positive Sentiment: Q4 EPS came in stronger than consensus ($1.81 vs ~$1.36), showing earnings resilience and likely supporting near‑term multiple expansion. Wix.com (WIX) Q4 Earnings Top Estimates
• Positive Sentiment: Management guided to mid‑teens top‑line growth in 2026, expects FCF margin in the low‑ to mid‑20% range, and reiterated plans to complete the majority of a $2B buyback — all supportive for revenue/earnings trajectory and shareholder returns. Wix Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Product momentum: Base44 reached ~$100M ARR and early traction for Harmony; Wix also launched an app in ChatGPT — signals of AI-driven monetization and new cohort growth. Wix Reports Fourth Quarter and Full Year 2025 Results Wix launches app in ChatGPT
• Neutral Sentiment: Revenue for Q4 missed estimates narrowly ($524.3M vs ~$527.7M), a modest shortfall that tempers the EPS beat and will keep focus on execution against 2026 targets. Wix.com meets Q4 revenue estimates, sees mid‑teens growth in 2026
• Negative Sentiment: Wider context: the stock is down substantially over the past year and reports of an investor selling ~$6M in shares highlight lingering investor skepticism and downside risk if growth or monetization disappoints. Wix Stock Has Tanked 70% This Past Year

Wix.com declared that its board has authorized a share repurchase program on Wednesday, January 28th that allows the company to buyback $2.00 billion in outstanding shares. This buyback authorization allows the information services provider to repurchase up to 40.5% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s management believes its stock is undervalued.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on WIX. Oppenheimer decreased their price target on Wix.com from $160.00 to $130.00 and set an “outperform” rating for the company in a report on Monday, February 2nd. Cantor Fitzgerald boosted their target price on shares of Wix.com from $135.00 to $140.00 and gave the company an “overweight” rating in a research note on Thursday, December 11th. Citigroup cut their price objective on shares of Wix.com from $197.00 to $150.00 and set a “buy” rating for the company in a report on Thursday, November 20th. Morgan Stanley lowered their target price on shares of Wix.com from $181.00 to $160.00 and set an “overweight” rating on the stock in a research note on Thursday, January 15th. Finally, Wall Street Zen upgraded Wix.com from a “hold” rating to a “buy” rating in a research report on Saturday. Two analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $154.05.

Hedge Funds Weigh In On Wix.com

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Wellington Management Group LLP raised its holdings in shares of Wix.com by 90.4% during the 3rd quarter. Wellington Management Group LLP now owns 3,390,589 shares of the information services provider’s stock worth $602,270,000 after acquiring an additional 1,609,989 shares during the period. Senvest Management LLC lifted its holdings in Wix.com by 20.9% in the fourth quarter. Senvest Management LLC now owns 3,008,480 shares of the information services provider’s stock valued at $312,551,000 after acquiring an additional 519,805 shares during the last quarter. Ameriprise Financial Inc. grew its position in Wix.com by 879.0% in the second quarter. Ameriprise Financial Inc. now owns 2,031,591 shares of the information services provider’s stock worth $321,926,000 after acquiring an additional 1,824,070 shares during the period. Morgan Stanley raised its position in Wix.com by 32.3% in the fourth quarter. Morgan Stanley now owns 1,046,381 shares of the information services provider’s stock valued at $108,709,000 after purchasing an additional 255,226 shares during the period. Finally, Durable Capital Partners LP purchased a new position in shares of Wix.com during the 3rd quarter worth $183,286,000. Institutional investors and hedge funds own 81.52% of the company’s stock.

About Wix.com

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.