JPMorgan Defends Wix Amid Rout as CFO Plots Next Super Bowl Ad
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Wix.com Ltd.’s decision to splurge on a Super Bowl ad earlier this year resulted in the Israeli Internet company attracting a record number of new users last quarter. Investors responded by dumping its shares.
Wix, which provides free online tools to build websites, added a record 5 million new users, while the number of paying subscribers rose almost 50 percent from a year ago to 1.5 million. Even so, it only met second-quarter sales guidance, and didn’t raise the forecast for the rest of the year. That was enough to spark a 23 percent rout in the stock last week, wiping out $248 million of market value.