Wix.com Stock Surges After Multiple Upgrades, Price Target Hikes Citing AI Advancements: Retail Extremely Bullish
Analysts believe Wix.com stands to benefit from developments in artificial intelligence technology, allowing creators to deliver better content.
Shares of Wix.com Ltd. (WIX) surged more than 4% in mid-day trade on Tuesday after receiving multiple upgrades and price target hikes from analysts.
Wix.com stock has been upgraded to ‘Overweight’ from ‘Equal Weight’ by analysts at Morgan Stanley, according to TheFly.
In its latest note, Morgan Stanley cited advancements in artificial intelligence innovation, which have resulted in growth in the self-creators segment, compounding subscription growth, and operational discipline supporting free cash flow generation, as the drivers behind upgrading its rating for the Wix.com stock.
The bank also increased its price target on the stock from $248 to $276, implying an upside of more than 17%.
Wix.com is an Israeli software company that offers cloud-based web development services.
Earlier this month, analysts at Jefferies also upgraded their price target for Wix.com, raising it to $260 from $225, citing potentially more contributions from AI.
Citi raised its price target as well, to $270, up from $xx, saying fundamentals will drive the stock.
Reacting to the ratings upgrades, retail sentiment on Stocktwits flipped to ‘extremely bullish’ (97/100) from ‘bearish’ (43/100) a day ago.
WIX sentiment and message volume January 14, 2025, as of 1 pm ET | Source: StocktwitsMessage volume also surged significantly to ‘extremely high’ (85/100) from ‘high’ a day ago.
Users were largely bullish on the Wix.com stock’s prospects.
Another user posted how the Wix.com stock has performed better than other technology stocks.
Overall, Wix.com’s share price has gained more than 41% over the last six months. Over the past year, it has increased more than 86%.
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