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Wix.com (WIX) Registers a Bigger Fall Than the Market: Important Facts to Note
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In the latest trading session, Wix.com (WIX - Free Report) closed at $72.97, marking a -1.27% move from the previous day. This move lagged the S&P 500's daily loss of 0.22%. At the same time, the Dow lost 0.66%, and the tech-heavy Nasdaq lost 0.22%.
The cloud-based web development company's shares have seen an increase of 1.64% over the last month, not keeping up with the Computer and Technology sector's gain of 6.54% and outstripping the S&P 500's gain of 1.4%.
Analysts and investors alike will be keeping a close eye on the performance of Wix.com in its upcoming earnings disclosure. The company is forecasted to report an EPS of $1.32, showcasing a 21.43% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $566.94 million, indicating a 12.22% increase compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.28 per share and a revenue of $2.26 billion, signifying shifts of -41.53% and +13.29%, respectively, from the last 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. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Wix.com is holding a Zacks Rank of #4 (Sell) right now.
In terms of valuation, Wix.com is currently trading at a Forward P/E ratio of 17.28. This signifies a premium in comparison to the average Forward P/E of 13.18 for its industry.
It's also important to note that WIX currently trades at a PEG ratio of 1.95. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Computers - IT Services industry was having an average PEG ratio of 1.31.
The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 75, putting it in the top 31% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
View the Zacks #1 Rank List
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Wix.com (WIX) Registers a Bigger Fall Than the Market: Important Facts to Note
In the latest trading session, Wix.com (WIX - Free Report) closed at $72.97, marking a -1.27% move from the previous day. This move lagged the S&P 500's daily loss of 0.22%. At the same time, the Dow lost 0.66%, and the tech-heavy Nasdaq lost 0.22%.
The cloud-based web development company's shares have seen an increase of 1.64% over the last month, not keeping up with the Computer and Technology sector's gain of 6.54% and outstripping the S&P 500's gain of 1.4%.
Analysts and investors alike will be keeping a close eye on the performance of Wix.com in its upcoming earnings disclosure. The company is forecasted to report an EPS of $1.32, showcasing a 21.43% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $566.94 million, indicating a 12.22% increase compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.28 per share and a revenue of $2.26 billion, signifying shifts of -41.53% and +13.29%, respectively, from the last 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. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Wix.com is holding a Zacks Rank of #4 (Sell) right now.
In terms of valuation, Wix.com is currently trading at a Forward P/E ratio of 17.28. This signifies a premium in comparison to the average Forward P/E of 13.18 for its industry.
It's also important to note that WIX currently trades at a PEG ratio of 1.95. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Computers - IT Services industry was having an average PEG ratio of 1.31.
The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 75, putting it in the top 31% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.