Wix.com (WIX) Dips More Than Broader Market: What You Should Know
In the latest trading session, Wix.com (WIX) closed at $116.90, marking a -0.43% move from the previous day. The stock fell short of the S&P 500, which registered a loss of 0.34% for the day. Meanwhile, the Dow gained 0.03%, and the Nasdaq, a tech-heavy index, lost 0.56%.
Shares of the cloud-based web development company have appreciated by 13.46% over the course of the past month, outperforming the Computer and Technology sector's gain of 1.27% and the S&P 500's gain of 2.56%.
Analysts and investors alike will be keeping a close eye on the performance of Wix.com in its upcoming earnings disclosure. In that report, analysts expect Wix.com to post earnings of $0.98 per share. This would mark year-over-year growth of 60.66%. At the same time, our most recent consensus estimate is projecting a revenue of $402.61 million, reflecting a 13.4% rise from the equivalent quarter last year.
Investors should also pay attention to any latest changes in analyst estimates for Wix.com. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 16.64% rise in the Zacks Consensus EPS estimate. Wix.com is currently a Zacks Rank #3 (Hold).
With respect to valuation, Wix.com is currently being traded at a Forward P/E ratio of 25.16. This represents no noticeable deviation compared to its industry's average Forward P/E of 25.16.
The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 38, putting it in the top 16% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Wix.com Ltd. (WIX) : Free Stock Analysis Report
