Wix Shares Plunge 32% as Scotiabank Slashes Price Target Following Q1 Earnings Miss

Wix.com faced intense selling pressure as its shares fell as much as 32% following the release of its first-quarter financial results. The company reported adjusted earnings per share of $0.68, significantly missing the $1.25 consensus estimate provided by analysts. According to reports, the adjusted gross margin also saw a contraction, declining to 66% during the period.

In response to the earnings miss, Scotiabank lowered its price target for Wix from $135.00 to $110.00 while maintaining an Outperform rating. Comparing this to the broader cloud software sector, peer performance remains mixed per market data as companies struggle to balance operational costs against a cooling cloud spending environment. The sharp decline occurred despite the company reaffirming its full-year guidance, highlighting investor sensitivity to immediate margin health.

WIX shares closed at depressed levels after breaking through key technical supports following the earnings-induced gap down (close May 14, 2026). Looking ahead, traders will monitor upcoming central bank catalysts, including speeches by Fed officials Kashkari and Williams, which could influence the discount rates applied to high-growth technology stocks.