104.43 USD
+0.24 (+0.23%)
104.42 USD
-0.01 (-0.01%)
We assign a fundamental rating of 5 out of 10 to WIX. WIX was compared to 87 industry peers in the IT Services industry. Both the profitability and the financial health of WIX get a neutral evaluation. Nothing too spectacular is happening here. WIX is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
WIX had positive earnings in the past year.
WIX had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: WIX reported negative net income in multiple years.
WIX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
WIX has a better Return On Assets (5.43%) than 70.45% of its industry peers.
The Return On Invested Capital of WIX (6.66%) is better than 65.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.43% | ||
| ROE | N/A | ||
| ROIC | 6.66% |
ROA(3y)-5.03%
ROA(5y)-5.92%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of WIX (7.20%) is better than 75.00% of its industry peers.
With a Operating Margin value of 5.72%, WIX perfoms like the industry average, outperforming 59.09% of the companies in the same industry.
WIX has a better Gross Margin (68.45%) than 88.64% of its industry peers.
WIX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.72% | ||
| PM (TTM) | 7.2% | ||
| GM | 68.45% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.36%
GM growth 5Y-1.77%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WIX is destroying value.
WIX has less shares outstanding than it did 1 year ago.
The number of shares outstanding for WIX has been increased compared to 5 years ago.
WIX has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.98 indicates that WIX is not a great score, but indicates only limited risk for bankruptcy at the moment.
WIX has a Altman-Z score (1.98) which is in line with its industry peers.
The Debt to FCF ratio of WIX is 2.09, which is a good value as it means it would take WIX, 2.09 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 2.09, WIX is doing good in the industry, outperforming 71.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.09 | ||
| Altman-Z | 1.98 |
ROIC/WACC0.81
WACC8.23%
2.3 Liquidity
WIX has a Current Ratio of 1.62. This is a normal value and indicates that WIX is financially healthy and should not expect problems in meeting its short term obligations.
WIX's Current ratio of 1.62 is in line compared to the rest of the industry. WIX outperforms 51.14% of its industry peers.
WIX has a Quick Ratio of 1.62. This is a normal value and indicates that WIX is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.62, WIX perfoms like the industry average, outperforming 51.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 30.99% over the past year.
WIX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 40.43% yearly.
Looking at the last year, WIX shows a quite strong growth in Revenue. The Revenue has grown by 13.22% in the last year.
WIX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.37% yearly.
EPS 1Y (TTM)30.99%
EPS 3YN/A
EPS 5Y40.43%
EPS Q2Q%12%
Revenue 1Y (TTM)13.22%
Revenue growth 3Y11.51%
Revenue growth 5Y18.37%
Sales Q2Q%13.61%
3.2 Future
Based on estimates for the next years, WIX will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.55% on average per year.
WIX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.27% yearly.
EPS Next Y7.12%
EPS Next 2Y3.81%
EPS Next 3Y11.91%
EPS Next 5Y13.55%
Revenue Next Year13.26%
Revenue Next 2Y13.75%
Revenue Next 3Y13.67%
Revenue Next 5Y13.27%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.04, which indicates a correct valuation of WIX.
Based on the Price/Earnings ratio, WIX is valued cheaper than 80.68% of the companies in the same industry.
WIX is valuated rather cheaply when we compare the Price/Earnings ratio to 26.38, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 15.17, the valuation of WIX can be described as correct.
WIX's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. WIX is cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.83, WIX is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.04 | ||
| Fwd PE | 15.17 |
4.2 Price Multiples
WIX's Enterprise Value to EBITDA is on the same level as the industry average.
WIX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. WIX is cheaper than 89.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.6 | ||
| EV/EBITDA | 32.41 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)1.97
PEG (5Y)0.35
EPS Next 2Y3.81%
EPS Next 3Y11.91%
5. Dividend
5.1 Amount
No dividends for WIX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
104.43
+0.24 (+0.23%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners98.91%
Inst Owner Change5.15%
Ins Owners3.19%
Ins Owner ChangeN/A
Market Cap5.71B
Revenue(TTM)1.93B
Net Income(TTM)138.90M
Analysts82.86
Price Target171.73 (64.45%)
Short Float %7.35%
Short Ratio2.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.61%
Min EPS beat(2)13.16%
Max EPS beat(2)30.07%
EPS beat(4)3
Avg EPS beat(4)14.87%
Min EPS beat(4)-4.22%
Max EPS beat(4)30.07%
EPS beat(8)7
Avg EPS beat(8)16.7%
EPS beat(12)11
Avg EPS beat(12)116.99%
EPS beat(16)14
Avg EPS beat(16)101.13%
Revenue beat(2)1
Avg Revenue beat(2)-0.2%
Min Revenue beat(2)-0.49%
Max Revenue beat(2)0.09%
Revenue beat(4)1
Avg Revenue beat(4)-0.58%
Min Revenue beat(4)-1.27%
Max Revenue beat(4)0.09%
Revenue beat(8)1
Avg Revenue beat(8)-0.63%
Revenue beat(12)4
Avg Revenue beat(12)-0.33%
Revenue beat(16)4
Avg Revenue beat(16)-0.47%
PT rev (1m)-19.31%
PT rev (3m)-19.08%
EPS NQ rev (1m)-9.88%
EPS NQ rev (3m)-8.47%
EPS NY rev (1m)-1.7%
EPS NY rev (3m)-1.05%
Revenue NQ rev (1m)0.32%
Revenue NQ rev (3m)0.39%
Revenue NY rev (1m)0.2%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.04 | ||
| Fwd PE | 15.17 | ||
| P/S | 2.96 | ||
| P/FCF | 10.6 | ||
| P/OCF | 10.23 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 32.41 |
EPS(TTM)7.44
EY7.12%
EPS(NY)6.89
Fwd EY6.59%
FCF(TTM)9.85
FCFY9.43%
OCF(TTM)10.21
OCFY9.77%
SpS35.27
BVpS-5.1
TBVpS-8.28
PEG (NY)1.97
PEG (5Y)0.35
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.43% | ||
| ROE | N/A | ||
| ROCE | 7.45% | ||
| ROIC | 6.66% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 5.72% | ||
| PM (TTM) | 7.2% | ||
| GM | 68.45% | ||
| FCFM | 27.92% |
ROA(3y)-5.03%
ROA(5y)-5.92%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.36%
GM growth 5Y-1.77%
F-Score6
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.09 | ||
| Debt/EBITDA | 8 | ||
| Cap/Depr | 64.67% | ||
| Cap/Sales | 1.01% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 397.05% | ||
| Profit Quality | 387.82% | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 | ||
| Altman-Z | 1.98 |
F-Score6
WACC8.23%
ROIC/WACC0.81
Cap/Depr(3y)207.02%
Cap/Depr(5y)186.08%
Cap/Sales(3y)3.47%
Cap/Sales(5y)3.06%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)30.99%
EPS 3YN/A
EPS 5Y40.43%
EPS Q2Q%12%
EPS Next Y7.12%
EPS Next 2Y3.81%
EPS Next 3Y11.91%
EPS Next 5Y13.55%
Revenue 1Y (TTM)13.22%
Revenue growth 3Y11.51%
Revenue growth 5Y18.37%
Sales Q2Q%13.61%
Revenue Next Year13.26%
Revenue Next 2Y13.75%
Revenue Next 3Y13.67%
Revenue Next 5Y13.27%
EBIT growth 1Y59.96%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year14.7%
EBIT Next 3Y15.95%
EBIT Next 5Y19.5%
FCF growth 1Y283.71%
FCF growth 3Y157.55%
FCF growth 5Y30.26%
OCF growth 1Y164.45%
OCF growth 3Y96.37%
OCF growth 5Y27.17%
WIX.COM LTD / WIX FAQ
What is the ChartMill fundamental rating of WIX.COM LTD (WIX) stock?
ChartMill assigns a fundamental rating of 5 / 10 to WIX.
What is the valuation status of WIX.COM LTD (WIX) stock?
ChartMill assigns a valuation rating of 5 / 10 to WIX.COM LTD (WIX). This can be considered as Fairly Valued.
Can you provide the profitability details for WIX.COM LTD?
WIX.COM LTD (WIX) has a profitability rating of 4 / 10.
How financially healthy is WIX.COM LTD?
The financial health rating of WIX.COM LTD (WIX) is 4 / 10.
What is the earnings growth outlook for WIX.COM LTD?
The Earnings per Share (EPS) of WIX.COM LTD (WIX) is expected to grow by 7.12% in the next year.