Wix.com Ltd. (WIX), a website building service provider, has filed a statement of intent with the US Securities and Exchange Commission (SEC) to spend $500 million on stock or bond repurchases. Wix.com’s stock jumped more than 11% in trade on June 15 as a result of the announcement. The stock was at $58.18 in trade on June 16, down more than 5%.
Wix.com filed an application with the Securities and Exchange Commission on Wednesday, June 15, stating that it has the power to spend $500 million to buy back shares or convertible notes. This indicates that the corporation could theoretically buy back around 14% of the stock currently on the market.
3 Tiny Stocks Primed to Explode
The world's greatest investor — Warren Buffett — has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential.
We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns.
Click here for full details and to join for free.
Wix.com, as a reminder, provides cloud-based website creation tools. Customers pay a monthly subscription to goods and services, which creates recurring income, and the firm offers its services on a software-as-a-service (SaaS) basis. Wix.com services enable many sorts of service providers, such as legal or financial consultants, to begin their businesses online.
The firm has been focusing on growing the address market and introducing new services to its platform, such as systems for accepting, paying, and delivering orders, over the past few years.
Despite recent advances, Wix.com is about 70% behind its 52-week high, representing the company’s lowest ever valuation. Despite the fact that the epidemic has delayed her business, it continues to expand. Furthermore, the company has a history of high client retention, which will help the company remain stable.
As demand for its services develops and customers are prepared to spend more, Wix.com is forecasting modest revenue growth but an excellent 20% free cash flow margin by 2025.
The stock has lost -14.59% in the last month, -32.61 percent in the last three months, and -58.82% in the last six months. WIX’s price volatility was found to be 6.54 percent over the last week, and 7.09% over a month.