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Wix.com (WIX) Gains But Lags Market: What You Should Know
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Wix.com (WIX - Free Report) ended the recent trading session at $155.81, demonstrating a +0.24% swing from the preceding day's closing price. The stock's change was less than the S&P 500's daily gain of 1.11%. On the other hand, the Dow registered a gain of 1.64%, and the technology-centric Nasdaq increased by 1.03%.
The cloud-based web development company's shares have seen a decrease of 2.36% over the last month, surpassing the Computer and Technology sector's loss of 5.32% and falling behind the S&P 500's loss of 1.16%.
Market participants will be closely following the financial results of Wix.com in its upcoming release. The company plans to announce its earnings on August 7, 2024. In that report, analysts expect Wix.com to post earnings of $1.32 per share. This would mark year-over-year growth of 4.76%. Our most recent consensus estimate is calling for quarterly revenue of $433.67 million, up 11.2% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $5.46 per share and a revenue of $1.75 billion, indicating changes of +24.37% and +12.19%, respectively, from the former year.
Any recent changes to analyst estimates for Wix.com should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, Wix.com possesses a Zacks Rank of #1 (Strong Buy).
From a valuation perspective, Wix.com is currently exchanging hands at a Forward P/E ratio of 28.44. This valuation marks a premium compared to its industry's average Forward P/E of 28.04.
Investors should also note that WIX has a PEG ratio of 1.28 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Computers - IT Services industry currently had an average PEG ratio of 3.21 as of yesterday's close.
The Computers - IT Services industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 93, finds itself in the top 37% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Wix.com (WIX) Gains But Lags Market: What You Should Know
Wix.com (WIX - Free Report) ended the recent trading session at $155.81, demonstrating a +0.24% swing from the preceding day's closing price. The stock's change was less than the S&P 500's daily gain of 1.11%. On the other hand, the Dow registered a gain of 1.64%, and the technology-centric Nasdaq increased by 1.03%.
The cloud-based web development company's shares have seen a decrease of 2.36% over the last month, surpassing the Computer and Technology sector's loss of 5.32% and falling behind the S&P 500's loss of 1.16%.
Market participants will be closely following the financial results of Wix.com in its upcoming release. The company plans to announce its earnings on August 7, 2024. In that report, analysts expect Wix.com to post earnings of $1.32 per share. This would mark year-over-year growth of 4.76%. Our most recent consensus estimate is calling for quarterly revenue of $433.67 million, up 11.2% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $5.46 per share and a revenue of $1.75 billion, indicating changes of +24.37% and +12.19%, respectively, from the former year.
Any recent changes to analyst estimates for Wix.com should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, Wix.com possesses a Zacks Rank of #1 (Strong Buy).
From a valuation perspective, Wix.com is currently exchanging hands at a Forward P/E ratio of 28.44. This valuation marks a premium compared to its industry's average Forward P/E of 28.04.
Investors should also note that WIX has a PEG ratio of 1.28 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Computers - IT Services industry currently had an average PEG ratio of 3.21 as of yesterday's close.
The Computers - IT Services industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 93, finds itself in the top 37% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.