Wix.com (WIX) Gets Price Target Cut After Mixed Q1 Results

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According to Wix.com, quarterly gross reached $541 million, up 14% twelvemonth implicit year; however, this fell abbreviated of the expert statement of astir $544 million. The institution added that non-GAAP EPS came successful astatine $0.68, which severely missed the $1.22 consensus. Management explained that gross maturation came from a 46% twelvemonth implicit twelvemonth surge successful caller idiosyncratic cohort bookings, to $52 million. The cohort bookings were mostly boosted by Base44, the AI-powered app-building level Wix acquired successful 2025. There was besides a noticeably higher conversion of caller users into paid subscriptions, driven by the January 2026 rollout of Wix Harmony, the company’s AI website instauration platform, noted management. Nonetheless, Base44 yet contributed to the net miss immensely because, arsenic per management, it has not yet afloat ramped to the standard the marketplace had priced in.

The institution explained that the EPS miss was owed to elevated AI compute costs to tally and standard Base44. Management noted that caller users devour disproportionately much AI inference bandwidth during their archetypal physique phase. As a result, Base44 costs are front-loaded by design.

Wix.com Ltd. (NASDAQ:WIX) is simply a web improvement level company. It provides cloud-based tools that let individuals and businesses to create, manage, and run websites, online stores, and integer applications without precocious coding expertise.

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