Wix.com partnership with Elavon puts unified commerce in focus

Wix.com (WIX) is back on investors’ radar after announcing a partnership with Elavon that links Wix’s website and commerce tools with Elavon’s payment and software capabilities for small businesses.

Despite the partnership news, Wix.com’s recent share price performance has been mixed, with a 7 day share price return of 11% but a 90 day share price return that declined 32.29%, while the 1 year total shareholder return declined 68.87%. This suggests momentum has been fading over a longer horizon.

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After a sharp 7 day rebound and a deep 1 year decline, Wix.com now trades at a sizable discount to both estimated fair value and analyst targets. Is this caution grounded in risk, or has sentiment swung too far?

Most Popular Narrative: 36% Undervalued

The most followed narrative on Wix.com pegs fair value at $78.63 versus the last close at $50.36, framing a wide gap that hinges on long term earnings recovery.

AI-driven features and onboarding are boosting user growth, conversion rates, and monetization, supporting sustainable revenue and margin expansion. Diversification into new digital markets and ongoing global brand strength are broadening revenue streams and underpinning long term business scalability.

Want to see what kind of revenue curve and margin rebuild sit behind that valuation gap? The narrative leans on compounding growth, rising profitability and a re rated earnings multiple, all mapped out in a detailed set of forecasts.

Result: Fair Value of $78.63 (UNDERVALUED)

However, this Wix.com narrative could be knocked off course if AI driven competitors pressure pricing, or if higher AI and marketing spend keeps margins under strain.

Next Steps

Given the mix of concern and optimism around Wix.com, it makes sense to quickly look at the full picture and form your own judgment based on the underlying numbers, including the 3 key rewards and 2 important warning signs

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.