Website design and e-commerce platform provider Wix.com (NASDAQ:WIX) will be reporting earnings tomorrow before market hours. Here’s what to look for.
Last quarter Wix reported revenues of $390 million, up 13% year on year, beating analyst revenue expectations by 1.9%. It was a positive quarter for the company, with a decent beat of analysts’ revenue estimates. In addition, revenue guidance for the next quarter came in ahead of consensus estimates.
Is Wix buy or sell heading into the earnings? Find out by reading the original article on StockStory.
This quarter analysts are expecting Wix’s revenue to grow 12.7% year on year to $389.7 million, improving on the 7.8% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.71 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company only missed Wall St’s revenue estimates once over the last two years, and has on average exceeded top line expectations by 1%.
Looking at Wix’s peers in the e-commerce software segment, some of them have already reported Q3 earnings results, giving us a hint of what we can expect. VeriSign (NASDAQ:VRSN) delivered top-line growth of 5.4% year on year, missing analyst estimates by 0.8%, and Shopify (NYSE:SHOP) reported revenues up 25.5% year on year, exceeding estimates by 2.6%. VeriSign traded flat on the results; Shopify was up 16.9%.
Read the full analysis of VeriSign’s and Shopify’s results on StockStory.
Technology stocks have been hit hard by fears of higher interest rates, and while some of the e-commerce software stocks have fared somewhat better, they have not been spared, with share price declining 3% over the last month. Wix is up 1.9% during the same time, and is heading into the earnings with analyst price target of $118.4, compared to share price of $88.8.
