Piper upgrades Wix.com to Overweight, downgrades GoDaddy to Neutral

Piper Sandler upgraded Wix.com (WIX) to Overweight from Neutral with a price target of $200, up from $184, while downgrading GoDaddy (GDDY) to Neutral from Overweight with a price target of $172, up from $160. It is an appropriate time to revisit both stocks following the strong outperformance year-to-date, the analyst tells investors in a research note. Looking to 2025, Piper believes the differentiator for stock performance will be potential for improving growth and margin improvements. At current levels, the firm sees a more compelling ownership thesis for Wix. The company has undergone one of the most significant transformations over the past two years, expanding free cash flow margins by 28 points while growth has remained stable or modestly improved, contends Piper. For GoDaddy, the firm believes this year’s performance has come close to pricing in the company’s medium term targets.