Why is Wix.com Ltd. ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate 24.17% of over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 26.26
2
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -49.88%, its profits have risen by 92.8% ; the PEG ratio of the company is 0.3
3
Below par performance in long term as well as near term
- Along with generating -49.88% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Wix.com Ltd. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Wix.com Ltd.
-100.0%
-0.86
56.39%
S&P 500
29.58%
0.62
19.30%
Quality key factors
Factor
Value
Sales Growth (5y)
16.20%
EBIT Growth (5y)
24.17%
EBIT to Interest (avg)
26.26
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
2.77
Sales to Capital Employed (avg)
3.73
Tax Ratio
11.04%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
0
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
27
Industry P/E
Price to Book Value
-17.37
EV to EBIT
29.07
EV to EBITDA
24.24
EV to Capital Employed
-6.25
EV to Sales
2.29
PEG Ratio
0.29
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
Negative BV
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Mildly Bearish
Mildly Bullish
Technical Movement
8What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 551.22 MM
DEBTORS TURNOVER RATIO(HY)
Highest at 43.13 times
NET SALES(Q)
Highest at USD 541.17 MM
CASH AND EQV(HY)
Highest at USD 3,208.9 MM
-16What is not working for the Company
PRE-TAX PROFIT(Q)
At USD -13.13 MM has Fallen at -130.32%
NET PROFIT(Q)
At USD -20.26 MM has Fallen at -159.99%
DEBT-EQUITY RATIO
(HY)
Highest at 425.71 %
EPS(Q)
Lowest at USD -1.02
Here's what is working for Wix.com Ltd.
Operating Cash Flow
Highest at USD 551.22 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Net Sales
Highest at USD 541.17 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Debtors Turnover Ratio
Highest at 43.13 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Cash and Eqv
Highest at USD 3,208.9 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Wix.com Ltd.
Pre-Tax Profit
At USD -13.13 MM has Fallen at -130.32%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (USD MM)
Net Profit
At USD -20.26 MM has Fallen at -159.99%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (USD MM)
EPS
Lowest at USD -1.02
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (USD)
Debt-Equity Ratio
Highest at 425.71 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio






