Wix.com’s Bullish Outlook Post-Base44 Acquisition
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1d ago
0mins
Should l Buy WIX?
Source: Yahoo Finance
- Acquisition Impact: Wix.com’s acquisition of Base44 for approximately $80 million is expected to significantly enhance user experience through AI-driven development via natural language prompts, thereby attracting more non-technical users and expanding market share.
- Market Reaction: Despite concerns over AI replacement leading to a 48.31% decline in Wix's stock price since November 2024, analysts believe these risks are largely priced in, with the upcoming Q3 2025 earnings call potentially serving as a catalyst for re-evaluation.
- User Growth: With over 270 million registered users, the integration of Base44 is anticipated to drive revenue growth from existing users and provide new upsell opportunities, further enhancing ARPU levels.
- Comparative Analysis: While Wix faces challenges in AI competition, its strong competitive moats and scale-driven efficiencies continue to make it attractive for long-term growth, particularly in the context of AI-led ARR acceleration.
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Analyst Views on WIX
Wall Street analysts forecast WIX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for WIX is 172.24 USD with a low forecast of 135.00 USD and a high forecast of 210.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
19 Analyst Rating
18 Buy
1 Hold
0 Sell
Strong Buy
Current: 75.450
Low
135.00
Averages
172.24
High
210.00
Current: 75.450
Low
135.00
Averages
172.24
High
210.00
About WIX
Wix.com Ltd. (Wix) is an Israel-based company engaged in the provision of a web development platform enabling businesses and organizations to take businesses, brands, and workflow online. The Company provides solutions that business owners can use to operate various aspects of their business online, such as selling goods, taking reservations, and scheduling and confirming appointments. These applications provide Wix registered users a bespoke front-end for customers visiting their Website, as well as a back-end management dashboard. The Company has developed these software applications for businesses in specific verticals, including retail and online stores, service providers, hotel and property management, music, and restaurants. These vertical applications are integrated into the Company's Website templates or can be installed on any existing Website and set up by the user and without the need to write code.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Wix.com’s Bullish Outlook Post-Base44 Acquisition
- Acquisition Impact: Wix.com’s acquisition of Base44 for approximately $80 million is expected to significantly enhance user experience through AI-driven development via natural language prompts, thereby attracting more non-technical users and expanding market share.
- Market Reaction: Despite concerns over AI replacement leading to a 48.31% decline in Wix's stock price since November 2024, analysts believe these risks are largely priced in, with the upcoming Q3 2025 earnings call potentially serving as a catalyst for re-evaluation.
- User Growth: With over 270 million registered users, the integration of Base44 is anticipated to drive revenue growth from existing users and provide new upsell opportunities, further enhancing ARPU levels.
- Comparative Analysis: While Wix faces challenges in AI competition, its strong competitive moats and scale-driven efficiencies continue to make it attractive for long-term growth, particularly in the context of AI-led ARR acceleration.
See More
AI Competition Takes Center Stage in Super Bowl Ads
- Ad Spending Scale: Companies are spending between $8 million and $10 million for 30-second ads during Super Bowl LX, aiming to capture consumer attention and promote new products, highlighting the fierce competition in the advertising market.
- AI Ad Rivalry: OpenAI and Anthropic are competing in Super Bowl commercials, with OpenAI planning to introduce ads in ChatGPT for monetization, while Anthropic uses satirical ads to critique OpenAI, reflecting the tension within the industry.
- Consumer Education: Amazon and Google's ads showcase the positive applications of AI in daily life, with Amazon featuring actor Chris Hemsworth humorously exploring AI's benefits, and Google demonstrating Gemini's utility in a family setting, aiming to enhance consumer acceptance of AI.
- Industry Reactions: OpenAI CEO Sam Altman expressed dissatisfaction with Anthropic's ads, claiming they are misleading, and emphasized OpenAI's mission to make AI accessible to a broader user base, illustrating differing perspectives on business models within the industry.
See More
Wix Shares Drop 16.4% Amid AI Disruption Fears
- Significant Stock Decline: Wix's shares fell 16.4% in January, primarily driven by ongoing market fears that artificial intelligence could disrupt business models across the software industry, with a buyback plan failing to provide any meaningful support.
- Weak Revenue Growth: While Wix reported a 14% year-over-year revenue increase in Q3 2025, concerns about its future profitability are mounting, particularly as AI tools become more prevalent, potentially leading to customer attrition and declining profit margins.
- AI Tool Acquisition: Wix's acquisition of Base44, an AI app creation tool, is projected to reach $50 million in annual recurring revenue by the end of 2025; however, the company's competitive advantage in the AI website building space remains uncertain amidst a crowded market.
- Attractive Valuation but High Risk: Wix's stock has plummeted nearly 80% since its peak in 2021, and while its valuation appears cheap based on adjusted earnings, the sustainability of its profits is highly uncertain as AI tools gain traction, posing a risk to its margins.
See More
Wix Unveils Super Bowl Ad for Wix Harmony
- Creative Journey Showcase: Wix's Super Bowl LX ad highlights the creative process behind its new flagship platform, Wix Harmony, emphasizing a natural transition from inspiration to execution, aimed at enhancing brand awareness on a global scale.
- Hybrid Creation Experience: Wix Harmony combines AI-powered creation with full visual editing, providing a flexible environment that enables users to quickly transform ideas into professional online presences, thereby enhancing user efficiency and experience.
- Human-AI Collaboration Concept: The ad features a business owner conversing with Wix Harmony, showcasing AI as a creative partner that helps users realize ideas faster while ensuring all creative decisions remain in human hands, reflecting a harmonious coexistence of technology and creativity.
- Brand Vision Communication: Wix CMO Omer Shai states that the ad aims to demonstrate the limitless possibilities when creation aligns with human thinking, marking a new chapter in web creation and further solidifying Wix's leadership in the digital experience building space.
See More
Base44 Launches Super Bowl Ad, Redefining App Creation
- Ad Debut: Base44 unveils its first-ever Super Bowl ad, showcasing how its AI platform enables users to create fully functional apps in minutes using natural language, significantly lowering barriers to app development and enhancing user creativity.
- Creative Spread: The ad theme “It’s app to you” highlights the sense of achievement users feel when their app goes live, inspiring more individuals to share their creations, thus creating a contagious “builder’s high” that drives user growth on the platform.
- National Contest: Base44 is launching a nationwide contest with a total prize pool of $50,000, aimed at rewarding diverse expressions of creativity through app building, which enhances brand visibility and market impact.
- Mission-Driven: Founded in 2024, Base44 focuses on simplifying the app creation process to unlock creativity at scale, and was acquired by Wix.com in 2025, further solidifying its position in the digital application space.
See More
Wix Announces $2 Billion Share Buyback Program
- Buyback Program Initiated: Wix's Board of Directors has authorized a two-year share repurchase program of up to $2 billion, reflecting confidence in the company's strong cash flow and commitment to enhancing shareholder value, which is expected to boost positive sentiment around the stock.
- Funding Sources Defined: The buyback will be financed through cash on hand and future cash generated from operations, with Wix holding $889.616 million in cash and cash equivalents as of September 30, 2025, ensuring the sustainability of the repurchase initiative.
- Mixed Technical Indicators: Wix's stock is currently trading 4.9% below its 20-day simple moving average but 24.3% below its 100-day SMA, indicating short-term strength while struggling in the long term, with shares down 64.35% over the past 12 months.
- Analyst Expectations: Investors are looking forward to the upcoming earnings report on February 18, 2026, with an EPS estimate of $0.98 (down from $1.93 YoY) and a revenue estimate of $527.83 million (up from $460.45 million YoY), reflecting cautious optimism about Wix's future.
See More
Wix.com’s Bullish Outlook Post-Base44 Acquisition
- Acquisition Impact: Wix.com’s acquisition of Base44 for approximately $80 million is expected to significantly enhance user experience through AI-driven development via natural language prompts, thereby attracting more non-technical users and expanding market share.
- Market Reaction: Despite concerns over AI replacement leading to a 48.31% decline in Wix's stock price since November 2024, analysts believe these risks are largely priced in, with the upcoming Q3 2025 earnings call potentially serving as a catalyst for re-evaluation.
- User Growth: With over 270 million registered users, the integration of Base44 is anticipated to drive revenue growth from existing users and provide new upsell opportunities, further enhancing ARPU levels.
- Comparative Analysis: While Wix faces challenges in AI competition, its strong competitive moats and scale-driven efficiencies continue to make it attractive for long-term growth, particularly in the context of AI-led ARR acceleration.
See More
AI Competition Takes Center Stage in Super Bowl Ads
- Ad Spending Scale: Companies are spending between $8 million and $10 million for 30-second ads during Super Bowl LX, aiming to capture consumer attention and promote new products, highlighting the fierce competition in the advertising market.
- AI Ad Rivalry: OpenAI and Anthropic are competing in Super Bowl commercials, with OpenAI planning to introduce ads in ChatGPT for monetization, while Anthropic uses satirical ads to critique OpenAI, reflecting the tension within the industry.
- Consumer Education: Amazon and Google's ads showcase the positive applications of AI in daily life, with Amazon featuring actor Chris Hemsworth humorously exploring AI's benefits, and Google demonstrating Gemini's utility in a family setting, aiming to enhance consumer acceptance of AI.
- Industry Reactions: OpenAI CEO Sam Altman expressed dissatisfaction with Anthropic's ads, claiming they are misleading, and emphasized OpenAI's mission to make AI accessible to a broader user base, illustrating differing perspectives on business models within the industry.
See More
Wix Shares Drop 16.4% Amid AI Disruption Fears
- Significant Stock Decline: Wix's shares fell 16.4% in January, primarily driven by ongoing market fears that artificial intelligence could disrupt business models across the software industry, with a buyback plan failing to provide any meaningful support.
- Weak Revenue Growth: While Wix reported a 14% year-over-year revenue increase in Q3 2025, concerns about its future profitability are mounting, particularly as AI tools become more prevalent, potentially leading to customer attrition and declining profit margins.
- AI Tool Acquisition: Wix's acquisition of Base44, an AI app creation tool, is projected to reach $50 million in annual recurring revenue by the end of 2025; however, the company's competitive advantage in the AI website building space remains uncertain amidst a crowded market.
- Attractive Valuation but High Risk: Wix's stock has plummeted nearly 80% since its peak in 2021, and while its valuation appears cheap based on adjusted earnings, the sustainability of its profits is highly uncertain as AI tools gain traction, posing a risk to its margins.
See More
Wix Unveils Super Bowl Ad for Wix Harmony
- Creative Journey Showcase: Wix's Super Bowl LX ad highlights the creative process behind its new flagship platform, Wix Harmony, emphasizing a natural transition from inspiration to execution, aimed at enhancing brand awareness on a global scale.
- Hybrid Creation Experience: Wix Harmony combines AI-powered creation with full visual editing, providing a flexible environment that enables users to quickly transform ideas into professional online presences, thereby enhancing user efficiency and experience.
- Human-AI Collaboration Concept: The ad features a business owner conversing with Wix Harmony, showcasing AI as a creative partner that helps users realize ideas faster while ensuring all creative decisions remain in human hands, reflecting a harmonious coexistence of technology and creativity.
- Brand Vision Communication: Wix CMO Omer Shai states that the ad aims to demonstrate the limitless possibilities when creation aligns with human thinking, marking a new chapter in web creation and further solidifying Wix's leadership in the digital experience building space.
See More
Base44 Launches Super Bowl Ad, Redefining App Creation
- Ad Debut: Base44 unveils its first-ever Super Bowl ad, showcasing how its AI platform enables users to create fully functional apps in minutes using natural language, significantly lowering barriers to app development and enhancing user creativity.
- Creative Spread: The ad theme “It’s app to you” highlights the sense of achievement users feel when their app goes live, inspiring more individuals to share their creations, thus creating a contagious “builder’s high” that drives user growth on the platform.
- National Contest: Base44 is launching a nationwide contest with a total prize pool of $50,000, aimed at rewarding diverse expressions of creativity through app building, which enhances brand visibility and market impact.
- Mission-Driven: Founded in 2024, Base44 focuses on simplifying the app creation process to unlock creativity at scale, and was acquired by Wix.com in 2025, further solidifying its position in the digital application space.
See More
Wix Announces $2 Billion Share Buyback Program
- Buyback Program Initiated: Wix's Board of Directors has authorized a two-year share repurchase program of up to $2 billion, reflecting confidence in the company's strong cash flow and commitment to enhancing shareholder value, which is expected to boost positive sentiment around the stock.
- Funding Sources Defined: The buyback will be financed through cash on hand and future cash generated from operations, with Wix holding $889.616 million in cash and cash equivalents as of September 30, 2025, ensuring the sustainability of the repurchase initiative.
- Mixed Technical Indicators: Wix's stock is currently trading 4.9% below its 20-day simple moving average but 24.3% below its 100-day SMA, indicating short-term strength while struggling in the long term, with shares down 64.35% over the past 12 months.
- Analyst Expectations: Investors are looking forward to the upcoming earnings report on February 18, 2026, with an EPS estimate of $0.98 (down from $1.93 YoY) and a revenue estimate of $527.83 million (up from $460.45 million YoY), reflecting cautious optimism about Wix's future.
See More
