Wix.com: Freemium Model And AI Tools Driving Growth

Summary

• Wix.com Ltd. has a promising growth outlook due to its freemium business model, a large user base, and impressive cohort retention.
• Despite a focus on expanding the payments segment, the core business of Wix remains strong with potential for growth as more small and medium-sized businesses establish or upgrade their online presence.
• The company is focusing on expanding its payments segment and leveraging AI tools to streamline customer experience and reduce operational costs.
• I am bullish on WIX stock and have an end-of-year price target of $88.

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Thesis

With its freemium business model, Wix.com Ltd.'s (NASDAQ:WIX) strategy of acquiring users through a wide funnel approach is appealing from both a value creation and marketing efficiency standpoint. I believe that there is still

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.