Wix.com has soared over 138% so far this year yet Oppenheimer sees more upside lying ahead, on the back of strong subscriber growth in the most recent quarter.
On August 7, Oppenheimer analyst Jason Helfstein raised Wix.com’s (WIX) price target to $350 (20% upside potential) from $305 and reaffirmed a Buy rating. Helfstein said that “Q2 record user additions, higher conversion to paid, and shift to eCommerce plans position Wix for accelerated collections growth.” He further noted that “July trends show continued new cohort strength into Q3.”
On the same day, JMP Securities analyst Ronald Josey also lifted the stock’s price target stating that the company is likely to continue benefiting from “accelerating mix-shift toward digital” solutions. He raised the price target to $363 (24.5% upside potential) from $210 and reiterated a Buy rating.
On August 6, Wix reported that 2Q revenues increased 27% to $236.1 million year-on-year, beating the Street consensus of $233.3 million. During the quarter, the company added more than 9.3 million registered users, reflecting a 64% increase from the year-ago quarter.
Overall, WIX has a Strong Buy analyst consensus. The average price target of $308.12 implies upside potential of 5.7% to current levels. (See WIX stock analysis on TipRanks).
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