Portnoy Law Firm Announces Class Action on Behalf of Wix.com, Ltd. Investors

The Portnoy Law Firm advises Wix.com, Ltd., (“Wix” or the "Company") (NASDAQ: WIX) investors of a class action on behalf of investors that bought securities between February 19, 2025 and May 12, 2026, inclusive (the “Class Period”). Wix investors have until September 23, 2026 to file a lead plaintiff motion. The Wix class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) Wix had overstated the competitiveness and performance of its AI product offerings relative to those offered by other companies; (ii) Wix had understated the costs associated with developing and promoting its AI product offerings; and (iii) accordingly, defendants overstated the commercial and financial benefits of Wix’ AI product offerings. On May 21, 2025, Wix issued a press release reporting its financial results for the first quarter of 2025, allegedly revealing that Wix maintained its 2025 revenue guidance in the range of $1.97 billion to $2 billion, falling short of analyst expectations. On this news, the price of Wix stock fell more than 16%, according to the complaint. On November 19, 2025, Wix reported its financial results for the third quarter of 2025, allegedly disclosing that its rising post-acquisition costs to support Base44 were having a material negative impact on Wix’ financial results and mitigating the positive impacts of AI-related tailwinds. On this news, the price of Wix stock dropped nearly 20%, according to the complaint. On March 27, 2026, JPMorgan issued a report on Wix, allegedly downgrading it to an “Underweight” from “Neutral” rating, and cutting its price target to $91.00 from $114.00. The complaint alleges that JPMorgan explained “our conviction to the investment case has diminished on signs of core business revenue growth deceleration,” and expressed concern “that margin improvement will be slower and more volatile than investors anticipate.” On this news, the price of Wix stock fell nearly 3% further, according to the complaint. Then, on April 2, 2026, UBS issued a report on Wix, allegedly downgrading it to a “Neutral” from “Buy” rating, and cutting its price target to $96.00 from $145.00, “after re-evaluating its growth algorithm for the core business and its margin profile.” On this news, the price of Wix stock declined nearly 10% further, according to the complaint. On April 7, 2026, Citizens issued an investor note on Wix, allegedly downgrading it to a “Market Perform” from “Market Outperform” rating based on, among other things, increased costs associated with Base44 and competition concerns. On this news, the price of Wix stock fell nearly 4% further, according to the complaint. Finally, on May 13, 2026, Wix reported its financial results for the first quarter of 2026, allegedly disclosing earnings and revenue below consensus expectations, and a sharp decline in operating margins that it largely attributed to softness in its professional developer business.