Wix.com Sees Unusually Large Options Volume (NASDAQ:WIX)

Wix.com Ltd. (NASDAQ:WIX) saw unusually large options trading on Monday. Stock traders bought 8,761 put options on the company. This represents an increase of 158% compared to the average volume of 3,392 put options.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on the company. Morgan Stanley lowered their target price on Wix.com from $181.00 to $160.00 and set an “overweight” rating on the stock in a research note on Thursday, January 15th. Royal Bank Of Canada lowered their target price on Wix.com from $155.00 to $112.00 and set an “outperform” rating on the stock in a research note on Thursday, March 5th. Scotiabank lowered their target price on Wix.com from $175.00 to $125.00 and set a “sector outperform” rating on the stock in a research note on Thursday, March 5th. Weiss Ratings cut Wix.com from a “hold (c-)” rating to a “sell (d)” rating in a research note on Friday, March 6th. Finally, Cantor Fitzgerald reiterated an “overweight” rating and set a $130.00 target price on shares of Wix.com in a research note on Thursday, March 5th. One research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $128.70.

Wix.com Stock Performance

Shares of Wix.com stock opened at $84.25 on Tuesday. Wix.com has a 52-week low of $60.22 and a 52-week high of $191.24. The stock’s 50-day simple moving average is $81.16 and its 200 day simple moving average is $106.11. The stock has a market capitalization of $4.91 billion, a P/E ratio of 104.01, a P/E/G ratio of 2.82 and a beta of 1.26.

Wix.com (NASDAQ:WIX) last posted its earnings results on Wednesday, March 4th. The information services provider reported $1.81 earnings per share for the quarter, beating analysts’ consensus estimates of $1.36 by $0.45. The business had revenue of $524.27 million during the quarter, compared to analyst estimates of $527.69 million. Wix.com had a negative return on equity of 70.04% and a net margin of 2.54%.The company’s quarterly revenue was up 13.9% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $2.10 EPS. Equities research analysts forecast that Wix.com will post 3.65 EPS for the current fiscal year.

Wix.com declared that its board has authorized a share buyback plan on Wednesday, January 28th that authorizes the company to buyback $2.00 billion in shares. This buyback authorization authorizes the information services provider to buy up to 40.5% of its shares through open market purchases. Shares buyback plans are often a sign that the company’s leadership believes its shares are undervalued.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in WIX. Ameriprise Financial Inc. grew its holdings in Wix.com by 128.3% during the 3rd quarter. Ameriprise Financial Inc. now owns 4,637,795 shares of the information services provider’s stock valued at $823,813,000 after buying an additional 2,606,204 shares in the last quarter. Lone Pine Capital LLC purchased a new position in Wix.com during the 2nd quarter valued at about $342,485,000. Wellington Management Group LLP grew its holdings in Wix.com by 90.4% during the 3rd quarter. Wellington Management Group LLP now owns 3,390,589 shares of the information services provider’s stock valued at $602,270,000 after buying an additional 1,609,989 shares in the last quarter. Diamond Hill Capital Management Inc. purchased a new position in Wix.com during the 4th quarter valued at about $150,622,000. Finally, Atreides Management LP purchased a new position in shares of Wix.com during the fourth quarter worth about $129,598,000. Hedge funds and other institutional investors own 81.52% of the company’s stock.

Wix.com Company Profile

Wix.com Ltd. operates a cloud-based platform that enables individuals and businesses to create, manage and develop professional web presences through an intuitive drag-and-drop interface. The company’s software-as-a-service model provides hosting, customizable templates and a range of design tools, eliminating the need for coding expertise. Users can choose from a variety of premium plans to access custom domains, enhanced storage, and advanced performance features tailored to personal projects, small businesses and online storefronts.

Beyond its core website builder, Wix offers a suite of complementary services designed to support digital growth and marketing.