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

Wix.com (NASDAQ:WIX) issued its quarterly earnings data on Wednesday. The information services provider reported $0.68 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.21 by ($0.53), FiscalAI reports. Wix.com had a negative return on equity of 70.04% and a net margin of 2.54%.The company had revenue of $541.17 million for the quarter, compared to the consensus estimate of $544.04 million. During the same quarter last year, the business earned $1.69 earnings per share. Wix.com’s revenue was up 14.2% compared to the same quarter last year.

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 Stock Performance

Shares of Wix.com stock traded down $2.61 during mid-day trading on Thursday, hitting $52.71. 4,831,403 shares of the stock were exchanged, compared to its average volume of 2,583,966. The company has a market capitalization of $3.07 billion, a P/E ratio of 65.07, a P/E/G ratio of 2.24 and a beta of 1.01. The company has a 50-day simple moving average of $80.52 and a 200 day simple moving average of $92.18. Wix.com has a 12 month low of $51.60 and a 12 month high of $190.93.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on WIX shares. Citizens Jmp downgraded shares of Wix.com from a “market outperform” rating to a “market perform” rating in a research note on Tuesday, April 7th. Benchmark lowered their target price on Wix.com from $130.00 to $115.00 and set a “buy” rating for the company in a report on Thursday. Wall Street Zen downgraded Wix.com from a “buy” rating to a “hold” rating in a report on Sunday, March 8th. Piper Sandler began coverage on Wix.com in a report on Thursday, March 12th. They issued a “neutral” rating and a $98.00 target price for the company. Finally, Morgan Stanley decreased their price target on shares of Wix.com from $181.00 to $160.00 and set an “overweight” rating for the company in a research note on Thursday, January 15th. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, eight have given a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $103.30.

Hedge Funds Weigh In On Wix.com

Institutional investors have recently added to or reduced their stakes in the stock. AQR Capital Management LLC raised its position 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 worth $266,000 after acquiring an additional 436 shares during the period. Woodline Partners LP lifted its stake 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 last quarter. Geneos Wealth Management Inc. lifted its stake 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 last quarter. Cetera Investment Advisers lifted its stake 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 last quarter. Finally, American Century Companies Inc. lifted its stake in Wix.com by 29.5% in the second quarter. American Century Companies Inc. now owns 6,930 shares of the information services provider’s stock valued at $1,098,000 after purchasing an additional 1,580 shares during the last quarter. Institutional investors own 81.52% of the company’s stock.

Key Wix.com News

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

• Positive Sentiment: Wix reported Q1 revenue of about $541 million, up 14% year over year, with bookings rising 15%, and management highlighted strong momentum in new cohorts and Base44-driven AI products. Wix Reports First Quarter 2026 Results
• Positive Sentiment: The company unveiled a proprietary AI model for Wix Harmony and new AI features for Base44, which could support longer-term product differentiation and growth. Wix Posts Double-Digit Q1 2026 Growth, Unveils Proprietary AI Model and Major Share Buyback
• Positive Sentiment: Wix said it repurchased roughly 30% of outstanding shares through a tender program, a shareholder-friendly move that can support per-share value. Wix Reports First Quarter 2026 Results
• Neutral Sentiment: Several brokerages still have positive or constructive ratings, but a number of them cut price targets after the weak quarter, reflecting lower near-term confidence rather than a full shift in long-term outlook.
• Negative Sentiment: Q1 EPS came in at $0.68 versus the $1.21 consensus estimate, a sharp miss that is the main reason the stock has fallen. WIX Investigation: BFA Law Announces Wix Investigation on behalf of Investors after 27% Stock Drop – Contact the Firm if You Lost Money
• Negative Sentiment: Revenue was slightly below expectations and margins weakened, raising concerns that profitability is being squeezed even as growth continues. Why Wix.com Stock Is Plummeting Today
• Negative Sentiment: Analysts lowered price targets following the results, including JPMorgan, Wells Fargo, Cantor Fitzgerald, Needham, Benchmark, and Scotiabank, reinforcing the view that the near-term setup has deteriorated. These Analysts Slash Their Forecasts On Wix.com After Weak Q1 Results

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

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.