Wix.com (WIX) Q4 Earnings Preview: What You Should Know Beyond the Headline Estimates

Analysts on Wall Street project that Wix.com (WIX) will announce quarterly earnings of $0.98 per share in its forthcoming report, representing an increase of 60.7% year over year. Revenues are projected to reach $402.61 million, increasing 13.4% from the same quarter last year.

Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.

Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.

While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.

With that in mind, let's delve into the average projections of some Wix.com metrics that are commonly tracked and projected by analysts on Wall Street.

Analysts' assessment points toward 'Revenues- Business Solutions' reaching $107.07 million. The estimate points to a change of +19.3% from the year-ago quarter.

The consensus estimate for 'Revenues- Creative Subscription' stands at $295.58 million. The estimate indicates a change of +11.4% from the prior-year quarter.

Analysts predict that the 'Collections (Bookings)' will reach $404.56 million. Compared to the current estimate, the company reported $371.81 million in the same quarter of the previous year.

The combined assessment of analysts suggests that 'Creative Subscriptions ARR' will likely reach $1,199,005.00 thousand. Compared to the current estimate, the company reported $1080824 thousand in the same quarter of the previous year.

The average prediction of analysts places 'Total Bookings - Creative Subscription' at $301.51 million. The estimate compares to the year-ago value of $281.77 million.

Analysts expect 'Total Bookings - Business Solutions' to come in at $110.70 million. The estimate is in contrast to the year-ago figure of $90.05 million.

Analysts forecast 'Non-GAAP Gross Profit- Business Solutions' to reach $30.71 million. Compared to the present estimate, the company reported $21.29 million in the same quarter last year.

Based on the collective assessment of analysts, 'Non-GAAP Gross Profit- Creative Subscriptions' should arrive at $244.85 million. Compared to the current estimate, the company reported $210.28 million in the same quarter of the previous year.

View all Key Company Metrics for Wix.com here>>>

Over the past month, shares of Wix.com have returned +3.6% versus the Zacks S&P 500 composite's +4.6% change. Currently, WIX carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

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