• Wix.com Ltd. (NASDAQ:WIX) maintains its market presence in the SaaS industry but faces stock decline amidst rising operating expenses and concerns over potential share dilution.
• Cantor Fitzgerald maintained an "Overweight" rating on WIX, adjusting its price target from $160 to $135 following a 21.7% stock decline.
• Despite surpassing Q3 earnings expectations and raising full-year guidance, Wix's stock hit a two-year low due to investor concerns over a delayed flagship product and increased marketing investments.

Wix.com (NASDAQ:WIX) is a prominent player in the software-as-a-service (SaaS) industry, providing tools for web development. The company, based in Tel Aviv, has carved a niche in the market with its user-friendly platform that allows individuals and businesses to create websites without extensive coding knowledge. Despite its strong market presence, Wix faces competition from other web development platforms like Squarespace and WordPress.

On November 20, 2025, Cantor Fitzgerald maintained its "Overweight" rating for Wix, even as the stock was priced at $101.7. However, the firm adjusted its price target from $160 to $135. This adjustment comes amid a significant stock decline, with Wix's shares dropping by 21.7% despite surpassing third-quarter earnings expectations and raising its full-year guidance.

Wix reported a 14% year-over-year increase in Q3 revenue, reaching $505.2 million, and adjusted earnings per diluted share rose to $1.68, exceeding analysts' expectations. Despite these positive results, the stock hit a two-year low, reflecting investor concerns over a delayed flagship product and its potential impact on future growth, as highlighted by the company's CEO, Avishai Abrahami.

The stock's decline is also attributed to rising operating expenses, including costs associated with AI developments on Wix's Base44 platform and increased marketing investments. Additionally, a recent $1 billion convertible notes offering has raised concerns about potential share dilution, contributing to the stock's downward trend.

Wix's stock has entered a bear market, plummeting over 48% from its peak earlier in the year. The stock's current price of $101.70 represents a significant decrease of 19.87%, with a trading volume of 8,013,965 shares. Despite the challenges, Wix continues to show robust performance in its Creative Subscriptions and Business Solutions segments, with revenue from Creative Subscriptions increasing by 12% to $356.2 million.