Key insights
- Wix.com shares declined significantly despite reporting Q1 bookings and revenue growth, driven by its Base44 platform and AI initiatives. The company highlighted strong new user cohort bookings and the development of its proprietary AI model. A substantial share repurchase program was also completed. While the drop is significant, positive growth metrics and AI advancements suggest a potentially positive, albeit limited, influence on the broader US market.
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Historic low, outstanding potential, great moment to grab a bargain?
- Q1 bookings of $585 million, up 15% y/y, and revenue of $541 million, up 14% y/y, driven by new cohort momentum powered by Base44 strength * New user cohort bookings increased ~46% year-over-year * Wix Harmony now running on its own proprietary AI model, built by Wix for speed without sacrificing accuracy when applied to Harmony websites * Powerful new features further position Base44 as a leader in AI-powered innovation, including Superagents, a native AI assistant, and new Figma to Base44 integration * Achieved ~$150 million of ARR as of May as momentum continues to ramp * Repurchased ~30% of outstanding Wix shares in early April through tender program