Wix (WIX) AI Stock Analysis

• Market Cap: $4.93B
• Dividend Yield: N/A
• Average Volume (3M): 2.74M
• Price to Earnings (P/E): 114.0
• Beta (1Y): 1.30
• Revenue Growth: 13.22%
• EPS Growth: 48.20%
• Country: US
• Employees: 4,399
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 1.81
• Shares Outstanding: 55,047,455
• 10 Day Avg. Volume: 3,211,147
• 30 Day Avg. Volume: 2,743,583
• PEG Ratio: -1.80
• Price to Book (P/B): -15.77
• Price to Sales (P/S): 2.90
• P/FCF Ratio: 10.05
• Enterprise Value/Market Cap: 1.27
• Enterprise Value/Revenue: 3.14
• Enterprise Value/Gross Profit: 4.62
• Enterprise Value/Ebitda: 188.53
• 1Y Price Target: $133.00
• Price Target Upside: 48.57% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 20
• EPS Forecast (FY): 6.08
• Revenue Forecast (FY): $2.28B

• Rating: 61 Neutral
• Price Target: $98.00 ▲(9.47% Upside)
• Action: Reiterated Date: 03/06/26
• Date: Action: Reiterated 03/06/26

The score is driven primarily by solid underlying cash generation and constructive FY2026 guidance/strategic traction (Base 44 and product initiatives). These positives are tempered by balance-sheet risk (negative equity and higher debt), high valuation (P/E ~114), and mixed technical signals with longer-term trend still weak despite recent strength.

Positive Factors

Free Cash Flow Generation

Sustained high operating and free cash flow through 2023–2025 provides durable internal funding for product investment, share repurchases and strategic initiatives. Reliable FCF supports the $2B repurchase plan and private placements while cushioning the company versus cyclical SMB volatility.

Resilient Gross Margins & Profitability

Consistently high gross margins and the move from multi-year losses to positive net income underpin durable unit economics and pricing power. These margins create structural operating leverage potential as revenue scales, supporting sustainable cash conversion even amid elevated investment spend.

Strategic AI Products & Base44 TAM Expansion

Rapid Base44 ARR growth and promising Wix Harmony adoption represent structural shifts expanding Wix's addressable market into app platforms and AI-enabled site creation. If sustained, these initiatives diversify revenue streams and raise ARPU, cementing competitive advantages beyond core website hosting.

Negative Factors

Balance Sheet Weakness

Persistent negative shareholder equity and a meaningful debt increase in 2025 weaken financial flexibility and heighten refinancing and interest-rate risk. This structural leverage burden can constrain strategic options, raise cost of capital, and force tradeoffs between investment and deleveraging over the medium term.

Growth & Operating Profitability Deceleration

A marked slowdown in growth rate and near-breakeven EBIT in 2025 indicate scaling inefficiencies and increased operating cost pressure. If this trend persists, sustaining mid-teens guidance and margin expansion will be harder, potentially impairing long-term revenue momentum and returns on incremental investment.

AI Compute & Acquisition Cost Pressure

Front-loaded AI inference costs and higher acquisition/branding spend for Base44 create structural margin headwinds and add FCF variability. Freemium AI usage allocates meaningful compute expense before monetization, risking prolonged margin dilution until conversion and cost optimizations scale.

Wix Business Overview & Revenue Model

Company Description

Wix.com Ltd., together with its subsidiaries, develops and markets a cloud-based platform that enables anyone to create a website or web application in North America, Europe, Latin America, Asia, and internationally. The company offers Wix Editor, a drag-and-drop visual development and website editing environment platform; Wix ADI that enables users to create a website for their specific needs; and Corvid by Wix to create websites and web applications. It also provides Ascend by Wix, which offers its users access to a suite of approximately 20 products or features enabling them to connect with their customers, automate their work, and grow their business; Wix Logo Maker that allows users to generate a logo using artificial intelligence; Wix Answers, a support infrastructure enabling its users to help their users across various channels; and Wix Payments, a payment platform, which helps its users receive payments from their users through their Wix Website. In addition, the company offers various vertical-specific applications that business owners use to operate various aspects of their business online. Further, it provides a range of complementary services, including App Market that offers its registered users the ability to install and uninstall a range of free and paid web applications; Wix Arena, an online marketplace that brings users seeking help in creating and managing a website, together with Web experts; and Wix App, a native mobile application, which enables users to manage their Websites and Wix operating systems. As of December 31, 2021, the company had approximately 222 million registered users and 6 million premium subscriptions. The company was formerly known as Wixpress Ltd. Wix.com Ltd. was incorporated in 2006 and is headquartered in Tel Aviv, Israel.

How the Company Makes Money

Wix generates revenue primarily through subscription plans, which offer users access to premium features, increased storage, and enhanced customer support. The company has multiple tiers of subscription packages, including free plans that monetize through ads and premium plans that provide additional features such as e-commerce capabilities, domain registration, and advanced analytics. Another significant revenue stream comes from its App Market, where third-party developers can offer apps and services that enhance users' websites, with Wix earning a commission on sales. Furthermore, Wix has strategic partnerships with payment processors, marketing platforms, and other service providers that contribute to its earnings by integrating their services into the Wix ecosystem, enhancing user experience and retention.

Wix Financial Statement Overview

Summary

Strong and improving operating/free cash flow (notably strong FCF in 2023–2025) and resilient gross margins support the score, but it is meaningfully offset by negative shareholder equity, rising debt in 2025, and a sharp weakening in 2025 operating profitability versus 2024.

Income Statement

Revenue has grown consistently from 2020–2025, but the growth rate slowed meaningfully in 2025. Profitability improved substantially from large losses in 2021–2022 to positive net income in 2023–2025, and gross margin stayed strong (~62–68%). However, 2025 operating profitability weakened sharply versus 2024 (near-breakeven EBIT and low EBITDA margin), signaling higher costs and less efficient scaling.

Balance Sheet

The balance sheet is pressured by negative shareholder equity in 2022–2025, which makes leverage elevated and limits financial flexibility. Total debt is sizable and increased materially in 2025 versus 2024, raising refinancing and interest-rate sensitivity. While the company has grown its asset base over time, the weak equity position remains a key risk factor.

Cash Flow

Cash generation is a clear strength: operating cash flow and free cash flow are high and have improved significantly since 2022, with strong free cash flow in 2023–2025. Free cash flow is broadly supported by reported earnings (free cash flow roughly in line with net income in 2023–2025). The main watch item is that cash flow relative to debt is only moderate, and debt rose notably in 2025.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.99B	1.76B	1.56B	1.39B	1.27B
Gross Profit	1.36B	1.20B	1.05B	861.44M	781.08M
EBITDA	33.20M	186.21M	68.48M	-439.77M	-28.83M
Net Income	50.65M	138.32M	33.14M	-424.86M	-117.21M
Balance Sheet
Total Assets	2.61B	1.91B	1.80B	1.76B	2.06B
Cash, Cash Equivalents and Short-Term Investments	1.18B	1.11B	962.89M	1.06B	1.32B
Total Debt	1.59B	969.95M	996.32M	1.13B	1.03B
Total Liabilities	2.98B	1.99B	1.86B	2.02B	1.91B
Stockholders Equity	-366.00M	-78.79M	-54.48M	-263.24M	145.72M
Cash Flow
Free Cash Flow	574.30M	479.60M	182.20M	-33.51M	27.98M
Operating Cash Flow	582.86M	497.42M	248.25M	37.15M	65.69M
Investing Cash Flow	-902.15M	-35.47M	566.71M	-54.66M	376.87M
Financing Cash Flow	-43.00M	-406.73M	-450.02M	-189.16M	-160.06M

Wix Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 89.52
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WIX, the sentiment is Positive. The current price of 89.52 is above the 20-day moving average (MA) of 79.00, above the 50-day MA of 82.19, and below the 200-day MA of 124.23, indicating a neutral trend. The MACD of 3.03 indicates Negative momentum. The RSI at 61.17 is Neutral, neither overbought nor oversold. The STOCH value of 61.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WIX.

Wix Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BOX	68 Neutral	$3.39B	35.80	115.65%	―	7.21%	58.61%
DOCN	68 Neutral	$7.14B	42.89	-214.15%	―	14.20%	204.86%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
WIX	61 Neutral	$4.93B	113.95	-21.76%	―	13.22%	48.20%
DBX	60 Neutral	$5.95B	14.67	-35.62%	―	-0.44%	2.47%
CFLT	60 Neutral	$11.13B	-35.21	-26.98%	―	21.58%	18.88%
S	58 Neutral	$4.92B	-10.24	-29.84%	―	24.09%	-34.25%

Wix Corporate Events

Wix Posts Strong 2025 Results, Raises $250 Million to Accelerate AI-Led Growth

On March 4, 2026, Wix reported fourth-quarter 2025 revenue of $524.3 million, up 14% year-on-year, with bookings of $534.5 million and annual recurring revenue of $1.836 billion, underscoring strong growth across creative subscriptions, business solutions and partner channels. For full-year 2025, revenue rose 13% to $1.99 billion and bookings climbed 13% to $2.07 billion, while non-GAAP profitability, robust free cash flow and ongoing share repurchases highlighted a strategy of balancing investment with shareholder returns.

Management framed 2026 as a pivotal year, pointing to AI-led offerings Wix Harmony and Base44, with Base44 reaching $100 million in ARR roughly a year after its founding and nine months after acquisition, as key engines for expanding the company’s addressable market into software applications. Wix expects mid-teens top-line growth and free cash flow margins in the low- to mid-20% range in 2026, while planning to complete the majority of its $2 billion share repurchase program by year-end to reinforce shareholder value.

Also on March 4, 2026, Wix announced a $250 million private placement of equity units led by Durable Capital Partners, priced at a 5% discount to the closing share price and including warrants with a 25% exercise premium, with closing expected on March 5, 2026. The investment, which is subject to customary closing conditions and includes extended lock-up commitments from both institutional investors and senior insiders, is intended to fund general corporate purposes and signals institutional confidence in Wix’s long-term AI-centric growth strategy and market positioning.

The most recent analyst rating on (WIX) stock is a Buy with a $176.00 price target. To see the full list of analyst forecasts on Wix stock, see the WIX Stock Forecast page.

Wix Board Approves $2 Billion Share Repurchase Program for 2026–2027

On January 28, 2026, Wix.com Ltd. announced that its board of directors has authorized a two-year share repurchase program for fiscal years 2026–2027, allowing the company to buy back up to $2 billion of its ordinary shares and/or convertible notes. The move signals the board’s confidence in Wix’s cash-flow generation and its commitment to boosting shareholder value, with repurchases to be executed via open-market purchases, privately negotiated deals or other methods in line with U.S. securities laws and subject to Israeli regulatory procedures and potential creditor objections; the company plans to fund the buybacks with existing cash, future operating cash flows and, if needed, additional capital raising, introducing a potentially significant capital allocation lever that could affect its capital structure and returns to investors.

The most recent analyst rating on (WIX) stock is a Hold with a $94.00 price target. To see the full list of analyst forecasts on Wix stock, see the WIX Stock Forecast page.

Wix Shareholders Approve Board Re-Elections and Auditor Mandate at 2025 AGM

On December 18, 2025, Wix.com Ltd. held its Annual General Meeting of Shareholders in Tel Aviv, where investors re-elected Class III directors Avishai Abrahami and Mark Tluszcz to serve until the 2028 annual meeting, maintaining continuity in the company’s leadership. Shareholders also approved an amendment and readoption of the compensation arrangements for non-executive directors in line with Israeli legal requirements and ratified the appointment and compensation of Kost, Forer, Gabbay & Kasierer, a member of Ernst & Young Global, as Wix’s independent registered public accounting firm for 2025, reinforcing established governance and oversight structures for the coming year.

The most recent analyst rating on (WIX) stock is a Buy with a $155.00 price target. To see the full list of analyst forecasts on Wix stock, see the WIX Stock Forecast page.