Israeli software company Wix.com (NASDAQ: WIX) gained in trading on Thursday after the company swung to a profit in the second quarter with adjusted earnings of $1.26 per diluted share as compared to a loss of $0.14 per share in the same period last year and exceeding consensus estimates of $0.59 per share.
The company generated revenues of $390 million in Q2, up by 13% year-over-year, above Street estimates of $382.6 million.
Looking forward, the management expects Q3 revenues to be in the range of $386 million to $391 million indicating a growth between 12% and 13%. Wix raised its FY23 revenues outlook in the range of $1.54 billion to $1.55 billion, up from its prior forecast of $1.55 billion and $1.54 billion.
The company stated the reason for its raised outlook in its press release, ” Strong execution on our strategy and continued momentum from our cohorts give us confidence that revenue growth will accelerate in H2 even when compared to an outstanding 1H that exceeded expectations. The mid-point of our guidance range implies acceleration of revenue growth in the second half of the year compared to the first half.”
Analysts are cautiously optimistic about WIX stock with a Moderate Buy consensus rating based on 13 Buys and five Holds.
