Core Insights - Wix.com Ltd. is experiencing strong business fundamentals despite a significant decline in stock price, with cash flow and growth metrics indicating a healthy operational performance [1][11][12] Company Overview - Wix.com Ltd. is a leading provider of cloud-based website development and business management solutions, serving hundreds of millions of registered users globally [6] - The company operates on a scalable, subscription-driven business model, offering a comprehensive suite of tools for users to build and manage their online presence [6] Financial Performance - In the third quarter, Wix reported a revenue increase of 14% year-over-year, reaching $505 million, with bookings growing at the same rate [11] - Free cash flow for the quarter was $127 million, approximately 25% of revenue, and could have exceeded $159 million excluding certain costs [11] - Annual Recurring Revenue (ARR) from Creative Subscriptions rose to $1.46 billion, while Business Solutions revenue increased by 18% [11] Investment Activity - Elwood Capital Partners increased its stake in Wix by acquiring 17,710 shares, bringing its total holding to 40,033 shares valued at $7.11 million as of September 30 [2][3] - The new position represents 4.34% of Elwood Capital's assets under management [3] Market Context - As of the latest data, Wix shares were priced at $105.43, reflecting a 53% decline over the past year, significantly underperforming the S&P 500, which rose by 15% during the same period [3] - The stock has decreased approximately 70% from its 2021 highs, indicating a disconnect between market sentiment and the company's underlying fundamentals [12] Future Outlook - Management anticipates that the AI-driven product Base44 will generate at least $50 million in ARR by year-end, with potential growth towards $100 million due to strong early adoption [11]

Wix has teamed with Stripe to offer more local payment options in Europe.By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions .Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.Although Wix Payments has been operating in Europe since 2019, this marks the first time Wix ...

Wix and Stripe now offer local payments options in 11 countries, providing businesses a seamless way to accept and manage payments across online and in-person channels NEW YORK – Wix.com Ltd. (NASDAQ: WIX), a leading global SaaS platform for creating, managing, and growing a complete digital presence, today announced that Wix Payments now offers more local payments options across Europe through its ongoing collaboration with programmable financial services company Stripe. Wix Payments has been operating in ...

Core Insights - Wix.com Ltd. has announced a new integration with Stripe's Agentic Commerce Suite, enhancing its capabilities in AI-powered shopping and enabling merchants to sell across multiple AI agents [2][10] - The integration aims to simplify the fragmented AI-commerce landscape by providing a unified, low-code solution for merchants [3][10] - Wix's partnerships, particularly with PayPal, are expected to drive future growth and improve operational efficiency for merchants [5][6] Financial Outlook - For Q4 2025, Wix anticipates total revenues between $521 million and $531 million, reflecting a year-over-year increase of 13–15% [8] - The full-year revenue outlook for 2025 has been adjusted to $1,990–$2,000 million, indicating a growth of 13–14% compared to previous estimates [8] Market Position - Wix's stock has seen a decline of 53.2% over the past year, contrasting with a 16.5% decline in the Computers - IT Services industry [9]

Core Insights - Senvest Management has significantly increased its stake in Wix.com, purchasing an additional $118.7 million worth of shares, indicating strong confidence in the company's long-term potential [1][2][6] Company Overview - Wix.com Ltd. is a provider of cloud-based website development and business management solutions, offering a scalable platform with integrated tools for users to build and manage their online presence [5][8] - As of the latest data, Wix.com has a market capitalization of $5.9 billion and reported a revenue of $1.9 billion with a net income of $138.9 million for the trailing twelve months [4] Financial Performance - Senvest's position in Wix.com now represents approximately 14.2% of its assets under management, with a total of nearly 2.5 million shares valued at $442.1 million as of September 30 [2][3] - Wix.com has shown a revenue growth of 14% in the latest quarter, driven by strong customer engagement and the success of its new Base44 AI development platform, which is projected to exceed $50 million in annual recurring revenue by year-end [9][10] - The company generated $127 million in free cash flow in the third quarter and executed $175 million in share repurchases, reflecting confidence in its future cash generation capabilities [9][10] Market Position and Strategy - Despite a significant decline in share price (down 51% over the past year), Senvest's increased investment suggests a belief in Wix's potential for a turnaround as it focuses on high-return AI initiatives [3][11] - Wix.com employs a freemium model, generating revenue through premium subscriptions and value-added business solutions, catering to individuals, small businesses, and enterprises globally [5][8]

Financial Performance - Total registered users are approximately 299 million[11] - Q3'25 transaction revenue reached $65 million, a 20% year-over-year increase[11] - Q3'25 partners revenue was $192 million, up 24% year-over-year[11] - Creative Subscriptions Annualized Recurring Revenue (ARR) is approximately $1.5 billion[11] - Q3'25 free cash flow (FCF) margin was 32%[11] - Q3'25 gross payment volume (GPV) reached $3.7 billion, a 13% year-over-year increase[11] Revenue and Bookings - Total revenue for 2025 is estimated to be between $1.99 billion and $2 billion[23] - Creative Subscriptions ARR expanded consistently, reaching $1.457 billion in Q3'25, an 11% year-over-year increase[27] - Total bookings for 2025 are projected to be between $2.06 billion and $2.078 billion[30] Strategic Initiatives - Base44, acquired in June 2025, is projected to generate at least $50 million of ARR by the end of 2025[19] - The Q1'25 user cohort is the strongest since the COVID cohort, growing 8% year-over-year and 17% quarter-over-quarter[39] - The company expects approximately $18.4 billion in future bookings over the next 10 years from existing cohorts[46]

Financial Data and Key Metrics Changes - Total bookings grew to $510 million in Q2, up 11% year over year, driven by stronger new user cohorts and deeper adoption of AI offerings [23][24] - Total revenue increased to $490 million, up 12% year over year, exceeding the high end of guidance [23][24] - Non-GAAP gross margin in Q2 was 70%, up from 69% in Q1, reflecting productivity benefits from AI solutions [24] - Non-GAAP operating income was $110 million, or 22% of revenue, up from 21% in Q1 [25] - Free cash flow for Q2 was $148 million, or 30% of revenue [25] Business Line Data and Key Metrics Changes - Partners revenue grew 24% year over year to $183 million, driven by continued adoption in the professional audience segment [23] - Transaction revenue was $64 million, up 18% year over year, driven by GPV growth and improved take rate [24] - GPV grew 11% year over year to $3.6 billion, with partners contributing nearly 55% of total GPV [24] Market Data and Key Metrics Changes - New user cohort bookings grew 14% over the previous year's cohort in its first quarter, with particular strength in the U.S., UK, and Europe [14][15] - Over 5 million new users onboarded in Q2, up 6% year over year, with an improving mix of high intent and commerce-oriented users [16][19] Company Strategy and Development Direction - The company is focusing on AI-driven advancements to lower barriers to digital creation and enhance user experience [5][6] - Vibe coding is recognized as a future growth driver, with the acquisition of Base44 expected to unlock new markets and audiences [9][10] - The company aims to combine intuitive visual editing with flexible vibe coding to lead in the next era of online creation [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to drive long-term growth by delivering essential tools for users to adapt and succeed [21] - Positive demand trends are expected to continue, with new user cohort bookings growing more than 20% exiting July compared to the previous year [20][28] - The company raised its full-year bookings outlook to $2.04 billion to $2.075 billion, reflecting strong new cohort behavior and contributions from Base44 [26][27] Other Important Information - The company repurchased approximately 646,000 shares for nearly $100 million, demonstrating commitment to returning value to shareholders [25] - Non-GAAP total gross margin is expected to be approximately 69% for the full year, with operating expenses around 49% of revenue [29][30] Q&A Session Summary Question: Insights on Vibe Coding and Base44 - Management views vibe coding as complementary to the core Wix drag-and-drop editor, emphasizing its potential for application building while maintaining visual editing capabilities [32][34] Question: Contribution of Base44 to Bookings - Base44 has some contribution to the bookings raise, but the majority comes from the strength of new cohorts [42][43] Question: Confidence in Sustained Strength - Confidence stems from favorable trends observed in Q2 and early Q3, driven by brand strength and increased demand [48][49] Question: Pricing Strategy Impact - Recent pricing changes were limited and part of the original plan, with no significant impact on retention or future pricing strategies [50][90] Question: Future Capital Allocation Plans - The company plans to repay convertible debt with cash on hand, with future capital needs to be assessed as necessary [82]

Core Insights - Wix.com Ltd. is set to release its second-quarter 2025 results on August 6, with expected revenues between $485 million and $489 million, reflecting an 11-12% growth year-over-year [1] - The Zacks Consensus Estimate for earnings is $1.75 per share, indicating a 4.79% increase from the previous year [2] - Wix's stock has decreased by 13.9% over the past year, contrasting with a 1.2% loss in the Zacks Computers - IT Services industry [2] Revenue and Growth Drivers - Revenue growth is anticipated from improved operational efficiency, AI product rollouts, and a diversified geographic footprint [3] - The adoption of Wix Studio and enterprise tools is identified as a key growth driver [3] - Creative Subscriptions and Business Solutions segments are projected to generate revenues of $345.4 million and $142 million, respectively [11] AI Integration and Strategic Acquisitions - Wix has launched Wixel, an AI-driven visual design platform, enhancing content creation capabilities [4][8] - The acquisition of Hour One and Base44 strengthens Wix's position in generative AI and no-code application development [5][6][8] - These acquisitions aim to expand Wix's offerings beyond web design into broader digital creation [5] User Growth and Payment Solutions - The number of registered users utilizing Wix Payments has grown, with nearly 5.3 million new user additions, a 7% year-over-year increase [9] - Wix has expanded its partnership with PayPal to enhance payment options for U.S. merchants [12] - A partnership with Alibaba.com aims to empower small businesses and enhance global reach [14] Recent Developments - Wix introduced the AI Visibility Overview tool to align websites with large language models, enhancing digital discovery [13] - The company continues to invest in technology enhancements and strategic expansions, although this may impact margins [11]

Core Insights - Wix and PayPal have initiated a deeper integration that allows PayPal to be directly available within the Wix Payments platform, enhancing transaction management for merchants [1][2] - The integration is currently available to Wix Payments users in the United States, with plans for future expansion to other regions [2] - This partnership enables merchants to manage all transactions from a single dashboard and offers additional payment options, including PayPal Pay Later and Venmo [2][3] Company and Industry Developments - PayPal will act as a payment service provider (PSP) and will enhance card processing capabilities within Wix Payments, improving conversion rates and profitability for users [3] - The integration aims to provide a faster and more unified checkout experience for merchants, allowing them to manage payments efficiently [3][4] - Wix offers a software-as-a-service (SaaS) platform for website building, while Wix Payments facilitates payment management for small businesses [4][5] Marketing and Consumer Engagement - PayPal's Pay Later service, a buy now, pay later (BNPL) option, has been promoted through an advertising campaign featuring actor Will Ferrell [6] - The integration of PayPal's payment methods into Wix Payments is designed to enhance the checkout experience and enable merchants to receive payments quickly [4][6]

Core Insights - PayPal has expanded its partnership with Wix, integrating its payment solutions into the Wix Payments platform to enhance payment management for merchants [1][2][4] Group 1: Integration Benefits - The integration allows U.S.-based merchants to manage PayPal transactions directly within the Wix Payments dashboard, consolidating reporting, chargebacks, and payouts [2][3] - Merchants can access PayPal's features such as PayPal Pay Later and Venmo, providing customers with more flexible payment options [2][3] Group 2: Operational Efficiency - Funds from PayPal wallet purchases are directly deposited into merchants' Wix Payments accounts, simplifying cash flow reconciliation [3] - PayPal will act as a Payment Service Provider (PSP) within Wix Payments, enhancing card processing capabilities and streamlining the merchant experience [3] Group 3: Strategic Goals - Wix aims to improve user experience and conversion rates by integrating PayPal, allowing for a faster and more unified checkout process [4] - PayPal shares Wix's commitment to helping businesses grow by providing quicker access to capital and enhancing the overall payment experience [4] Group 4: Availability - This integrated solution is currently available to U.S.-based Wix Payments users, with plans for future expansion to other regions [5]