What Happened?

Shares of website building platform Wix (NASDAQ: WIX) jumped 5.8% in the afternoon session after its positive momentum continued as the company revealed a significant partnership with PayPal to bring AI-powered product discovery and integrated payments to its merchants. This move provided Wix users with access to new AI shopping channels and streamlined commerce tools, enhancing the platform's value for businesses. The collaboration aimed to simplify online sales and improve the shopping experience for customers.

Is now the time to buy Wix? Access our full analysis report here.

What Is The Market Telling Us

Wix’s shares are very volatile and have had 24 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 11 days ago when the stock gained 4% on the news that positive news on corporate earnings, easing political and trade tensions, and optimism about future interest rate cuts all converged to lift investor sentiment. The overall market, including the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite, climbed significantly. A major catalyst was Apple shares rising 4% after a firm upgraded its rating, citing improving iPhone demand and predicting a long growth cycle. More broadly, the third-quarter earnings season got off to a strong start, with 76% of the 58 S&P 500 companies beating expectations, lifting the market's mood. Additionally, there were hope for an end to the ongoing U.S. government shutdown, which is seen as good for the economy. Investors also moved past recent fears over credit risks that had caused a sell-off the previous week, with shares of regional banks rebounding. Finally, signs that trade tensions with China were de-escalating, including expectations that new tariffs might be avoided, added to the overall positive momentum, leading traders to focus on more favorable factors like earnings and potential Federal Reserve rate cuts.

Wix is down 31.9% since the beginning of the year, and at $147.50 per share, it is trading 40.2% below its 52-week high of $246.76 from January 2025. Investors who bought $1,000 worth of Wix’s shares 5 years ago would now be looking at an investment worth $582.44.

Do you want to know what moves the business you care about? Add them to your StockStory watchlist and every time a stock significantly moves, we provide you with a timely explanation straight to your inbox. It’s free for active Edge members and will only take you a second.