Wix.com price target lowered to $181 from $200 at Morgan Stanley

Morgan Stanley analyst Elizabeth Porter lowered the firm’s price target on Wix.com (WIX) to $181 from $200 and keeps an Overweight rating on the shares. A “solid” Q3 was overshadowed by a light raise to Q4 despite ramping Base44 demand and the potential for further margin pressure as Base44 investment precedes material revenue contribution, the analyst tells investors. The magnitude and timeline of margin pressure on the back of AI and marketing investment behind ramping Base44 demand will remain a debate, adds the analyst, who calls Wix a “show-me-story from here.”