Benchmark Co. analyst Mark Zgutowicz maintains $Wix.com (WIX.US)$ with a buy rating, and adjusts the target price from $225 to $250.
According to TipRanks data, the analyst has a success rate of 58.6% and a total average return of 20.7% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Wix.com (WIX.US)$'s main analysts recently are as follows:
Q3 results surpassed expectations, accompanied by increases in revenue, billings, and free cash flow that suggest robust end-of-year figures for FY24 and maintain momentum into FY25. Core initiatives, such as Studio, bolstering Partners, and AI enhancements aiding Self-Creators, suggest potential for continued growth in 2025.
While Wix.com delivered another robust quarterly performance, there was an expectation for quicker growth in their self-creator segment. Despite challenging comparisons, both partner and business solutions segments showed acceleration. Additionally, the company's free cash flow margin is on the verge of reaching 30%. It is also noted that Wix is on track to generate $500 million in free cash flow by 2024, surpassing earlier long-term forecasts.
Wix.com demonstrated robust growth in Q3 and provided Q4 guidance that exceeded expectations for bookings growth and free cash flow. This performance has led to revised expectations based on the company's highly recurring revenue stream, introduction of new AI-infused products, and an elevated outlook for growth and margins.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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