Why Shares of Wix.com Crashed Nearly 17% in May
The early pandemic surge in website building and new online activity appears to have long since dissipated. Shares of top website creation company Wix.com (NASDAQ: WIX) have been suffering as its once fast-paced growth trajectory settles down to a more gentle slope of expansion. The stock fell by 16.5% in May, according to data from S&P Global Market Intelligence, after its first-quarter earnings report left many investors worried.
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After a torrid run of more than 30% year-over-year growth for much of 2020 and 2021, Wix reported revenue growth of just 16% in 2021's fourth quarter. Even worse, management projected that revenue would grow at just an 11% to 13% pace in Q1 2022 -- though it said it expected growth to accelerate as the year progresses.
Source Fool.com
