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In the latest close session, Wix.com (WIX - Free Report) was up +2.63% at $76.98. The stock outperformed the S&P 500, which registered a daily gain of 0.41%. At the same time, the Dow lost 0.07%, and the tech-heavy Nasdaq gained 1.11%.
Heading into today, shares of the cloud-based web development company had lost 4.43% over the past month, lagging the Computer and Technology sector's loss of 0.92% and the S&P 500's gain of 1.46%.
Market participants will be closely following the financial results of Wix.com in its upcoming release. On that day, Wix.com is projected to report earnings of $1.32 per share, which would represent a year-over-year decline of 21.43%. Our most recent consensus estimate is calling for quarterly revenue of $566.94 million, up 12.22% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $4.28 per share and revenue of $2.26 billion, which would represent changes of -41.53% and +13.29%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Wixcom. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. At present, Wix.com boasts a Zacks Rank of #3 (Hold).
From a valuation perspective, Wix.com is currently exchanging hands at a Forward P/E ratio of 17.54. This expresses a premium compared to the average Forward P/E of 14.57 of its industry.
It is also worth noting that WIX currently has a PEG ratio of 1.98. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Computers - IT Services industry held an average PEG ratio of 1.3.
The Computers - IT Services industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 91, finds itself in the top 37% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow WIX in the coming trading sessions, be sure to utilize Zacks.com.
View the Zacks #1 Rank List
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Wix.com (WIX) Laps the Stock Market: Here's Why
In the latest close session, Wix.com (WIX - Free Report) was up +2.63% at $76.98. The stock outperformed the S&P 500, which registered a daily gain of 0.41%. At the same time, the Dow lost 0.07%, and the tech-heavy Nasdaq gained 1.11%.
Heading into today, shares of the cloud-based web development company had lost 4.43% over the past month, lagging the Computer and Technology sector's loss of 0.92% and the S&P 500's gain of 1.46%.
Market participants will be closely following the financial results of Wix.com in its upcoming release. On that day, Wix.com is projected to report earnings of $1.32 per share, which would represent a year-over-year decline of 21.43%. Our most recent consensus estimate is calling for quarterly revenue of $566.94 million, up 12.22% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $4.28 per share and revenue of $2.26 billion, which would represent changes of -41.53% and +13.29%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Wixcom. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. At present, Wix.com boasts a Zacks Rank of #3 (Hold).
From a valuation perspective, Wix.com is currently exchanging hands at a Forward P/E ratio of 17.54. This expresses a premium compared to the average Forward P/E of 14.57 of its industry.
It is also worth noting that WIX currently has a PEG ratio of 1.98. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Computers - IT Services industry held an average PEG ratio of 1.3.
The Computers - IT Services industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 91, finds itself in the top 37% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow WIX in the coming trading sessions, be sure to utilize Zacks.com.