Wix.com (NASDAQ:WIX) to Repurchase $200.00 million in Outstanding Shares

Wix.com (NASDAQ:WIX) declared that its board has initiated a share repurchase program on Monday, August 11th, RTT News reports. The company plans to repurchase $200.00 million in shares. This repurchase authorization permits the information services provider to repurchase up to 2.9% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s management believes its shares are undervalued.

Wix.com Stock Performance

NASDAQ WIX opened at $115.43 on Tuesday. Wix.com has a fifty-two week low of $114.89 and a fifty-two week high of $247.11. The stock has a 50 day simple moving average of $151.25 and a two-hundred day simple moving average of $170.86. The stock has a market cap of $6.48 billion, a P/E ratio of 41.08, a price-to-earnings-growth ratio of 1.97 and a beta of 1.27.

Wix.com (NASDAQ:WIX) last released its quarterly earnings data on Wednesday, August 6th. The information services provider reported $2.28 earnings per share for the quarter, topping the consensus estimate of $1.79 by $0.49. Wix.com had a negative return on equity of 136.43% and a net margin of 8.90%. The business had revenue of $489.93 million during the quarter, compared to analysts’ expectations of $487.62 million. During the same quarter last year, the business posted $1.67 EPS. The business’s revenue was up 12.4% on a year-over-year basis. Sell-side analysts predict that Wix.com will post 3.65 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of equities analysts have recently issued reports on the company. Citigroup cut their price objective on Wix.com from $280.00 to $238.00 and set a “buy” rating for the company in a report on Friday, April 25th. UBS Group cut their price objective on Wix.com from $230.00 to $200.00 and set a “buy” rating for the company in a report on Thursday, August 7th. Wall Street Zen cut Wix.com from a “strong-buy” rating to a “buy” rating in a report on Sunday, July 13th. Baird R W upgraded Wix.com from a “hold” rating to a “strong-buy” rating in a report on Friday, May 23rd. Finally, Cfra Research cut Wix.com from a “moderate buy” rating to a “hold” rating in a report on Tuesday, April 15th. Two investment analysts have rated the stock with a hold rating, eighteen have given a buy rating and three have issued a strong buy rating to the company. According to MarketBeat, Wix.com currently has an average rating of “Buy” and a consensus target price of $213.53.

Wix.com Company Profile

Wix.com Ltd., together with its subsidiaries, operates as a cloud-based web development platform for registered users and creators worldwide. The company offers Wix Editor, a drag-and-drop visual development and website editing environment platform; and Wix ADI that enables users to have the freedom of customization that the classic editor offers.