Web development and design company Wix (WIX) had an unpleasant surprise for investors today in its most recent earnings report. The company posted Q4 2024 diluted earnings per share of $1.93%, beating Wall Street’s $1.59 estimate by more than 21%. It also represents EPS growth of 58.2% year-over-year from $1.22.
Discover the Best Stocks and Maximize Your Portfolio:
- See what stocks are receiving strong buy ratings from top-rated analysts.
- Filter, analyze, and streamline your search for investment opportunities with TipRanks’ Stock Screener.
While Wix soundly beat EPS estimates for Q4, revenue of $460.5 million failed to surpass analysts’ expectations of $461.69 million. That’s despite the company’s revenue increasing 14% year-over-year from $403.77 million.
These mixed results left WIX stock volatile this morning. The company’s shares initially climbed in pre-market trading but gave up those gains and more after the opening bell. This has WIX stock down 4.31% as of this writing, endangering its year-to-date increase of 3.01%. Even so, the stock is still up 76.35% over the last year.
What’s Next for WIX Stock?
Wix provided investors with a new outlook for 2025 in its latest earnings report. The web development platform expects revenue for the year to range from $1.97 billion to $2 billion. While that represents annual growth of 12% to 14%, it would fail to reach Wall Street’s revenue estimate of $2.01 billion for the year.
Investors are also worried about the company’s Q1 2025 performance with revenue guidance between $469 million and $473 million. That’s also set to miss analysts’ revenue estimate of $476.32 million for the quarter despite expected year-over-year growth of 12% to 13%.
Is WIX Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Wix is Strong Buy based on 16 Buy, three Hold, and one Sell ratings over the last three months. With that comes an average price target of $244.29, a high of $300, and a low of $189. This represents a potential 11.5% upside for WIX stock. These ratings and price targets will likely change as analysts update their coverage after today’s earnings report.
