Disclosure: I am bullish on Wix and aim to build a position over the next few months *(should the price remain at these levels and the fundamentals don’t change)*.
I think Wix deserves to be a case study for many reasons, but most notably, its irrational price movement.
\- Went 3x during the pandemic
\- Down 85% after the pandemic
\- Up 250% by January 2025
\- Down 78% since.
The fundamentals didn't justify this volatility. I just shared a deep dive (\~5 minutes reading time): [https://thefinancecorner.substack.com/p/wix-85-down-more-valuable-than-ever](https://thefinancecorner.substack.com/p/wix-85-down-more-valuable-than-ever)
TLDR:
\- Base44 (which was acquired in 2025) alone is worth the same as the company's market cap. Its ARR went up from $10m in June 2025 to $160m today.
\- The management believes the fair value is significantly higher and bought back 1/3 of the company
\- Wix (excl. Base44) would be earning \~$350m operating profit next year (my estimate, calculation included)
**- Fair value $72 to $120/share (yes, quite a wide range) vs. $51/share today.**
Hope you enjoy it, and as always, looking forward to your thoughts/feedback.
