Wix.com (WIX) Stock Forecast & Price Target

Wix.com is attractive because it is showing accelerating core demand, with 2Q26 revenue of $563mm rising 14.9% y/y, bookings up 11.6% y/y to $569mm, and total ARR reaching $1.96B, while Self Creators growth improved to 14% and Business Solutions revenue rose 14%. The key fundamental catalyst is Base44, where management launched Base1 in June and now expects Base44 non-GAAP gross margin to approach 60% in 2H26 from near-zero earlier in the year, driven by sharply lower AI inference costs and creating roughly 2 points of consolidated gross margin improvement. Even though management is reinvesting savings into sales and marketing, the combination of rising margins, high-teens FY26 FCF margin guidance, and a full-stack SMB platform with expanding AI capabilities suggests improving profitability alongside durable growth.

Wix.com is facing a weaker fundamental setup as FY2027 estimates were cut, with revenue now expected at $2.5B, Adj. EBITDA at $390mm, FCF at $455mm, and GAAP EPS at $0.51, reflecting lower profitability and diminished operating leverage. Its growth mix is also becoming less attractive: GPV fell to 3% y/y, partners’ growth slowed to 17%, and management flagged ongoing headwinds from conversion, acquisition efficiency, churn, and a softer SMB backdrop. Although AI products like Base44 are improving margins, they are still dilutive near term, while rising S&M at 31% of revenue and emerging competitive threats from LLM-based website building further pressure the investment case.