Website design and e-commerce platform provider Wix.com (NASDAQ: WIX) will be announcing earnings results tomorrow before the bell. Here’s what to expect.
Wix met analysts’ revenue expectations last quarter, reporting revenues of $460.5 million, up 14% year on year. It was a decent quarter for the company, with revenue guidance for next quarter meeting analysts’ expectations.
Is Wix a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Wix’s revenue to grow 12.4% year on year to $471.9 million, in line with the 12.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.66 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Wix has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 0.7% on average.
Looking at Wix’s peers in the e-commerce software segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Shopify delivered year-on-year revenue growth of 26.8%, beating analysts’ expectations by 1.1%, and VeriSign reported revenues up 4.7%, in line with consensus estimates. Shopify traded down 3% following the results while VeriSign was up 8%.
Read our full analysis of Shopify’s results here and VeriSign’s results here.
There has been positive sentiment among investors in the e-commerce software segment, with share prices up 23.7% on average over the last month. Wix is up 24.8% during the same time and is heading into earnings with an average analyst price target of $231.48 (compared to the current share price of $182.77).
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