Pomerantz Law Firm Announces the Filing of a Class Action Against Wix.com Ltd. and Certain Officers - WIX

NEW YORK, Aug. 6, 2026 /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against Wix.com Ltd. ("Wix" or the "Company") (NASDAQ: WIX) and certain officers. The class action, filed in the United States District Court for the Northern District of Illinois, and docketed under 26-cv-08852, is on behalf of a class consisting of all persons and entities other than Defendants that purchased or otherwise acquired Wix securities between February 19, 2025 and May 12, 2026, both dates inclusive (the "Class Period"), seeking to recover damages caused by Defendants' violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder, against the Company and certain of its top officials.

If you are an investor who purchased or otherwise acquired Wix securities during the Class Period, you have until September 22, 2026, to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Danielle Peyton at [email protected] or 646-581-9980 (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.

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Wix operates a cloud-based web development platform. The Company offers various services that allow users to create, customize, and manage professional websites.

Given Wix's core business, the Company has, at all relevant times, endeavored to remain competitive by providing its customers with artificial intelligence- ("AI") powered offerings. For example, in February 2025, Defendants touted Wix's purportedly "innovati[ve]" AI technologies and solutions as a key competitive advantage the Company enjoyed. Further, in June 2025, Wix acquired Base44, a so-called "vibe coding" platform designed to enable users to build apps and websites simply by typing descriptions, without the need for any coding experience. Then, in January 2026, Wix launched Wix Harmony, intended to be the Company's flagship AI site builder, with features designed to allow users to generate website designs, content, and layouts automatically based on their preferences.

Defendants consistently represented throughout the Class Period that Wix's purported leadership in AI-powered web development set it apart from competitors with similar offerings. In reality, the Company's costs were accelerating at an alarming rate as it struggled to maintain its relevance in this market, particularly as competing AI technologies and services were increasingly outpacing the capabilities of Wix's own products.

The complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Wix had overstated the competitiveness and performance of its AI product offerings relative to those offered by other companies; (ii) Wix had understated the costs associated with developing and promoting its AI product offerings; (iii) accordingly, Defendants overstated the commercial and financial benefits of Wix's AI product offerings; and (iv) as a result, Defendants' public statements were materially false and misleading at all relevant times.

The truth began to emerge on May 21, 2025, when Wix issued a press release reporting its financial results for the first quarter ("Q1") of 2025. Although the Company reported a 12% year-over-year increase in bookings, Wix maintained its 2025 revenue guidance in the range of $1.97 billion to $2 billion, falling short of analyst expectations. This conservative full-year guidance fueled investor and analyst concerns regarding Wix's business and financial prospects and competition.

On this news, Wix's stock price fell $29.40 per share, or 16.18%, to close at $152.34 per share on May 21, 2025.

On November 19, 2025, Wix reported its financial results for the third quarter of 2025. Among other items, Wix reported that its rising post-acquisition costs to support Base44 were having a material negative impact on the Company's financial results and mitigating the positive impacts of AI-related tailwinds. Wix further revealed that these costs were generally comprised of AI compute and marketing costs.

On this news, Wix's stock price fell $25.22 per share, or 19.87%, to close at $101.70 per share on November 19, 2025.

On March 27, 2026, JPMorgan issued a report on Wix, downgrading it to an "Underweight" from "Neutral" rating, and cutting its price target ("PT") on the Company to $91.00 from $114.00. JPMorgan explained that "our conviction to the investment case has diminished on signs of core business revenue growth deceleration", while expressing concern "that margin improvement will be slower and more volatile than investors anticipate."

On this news, Wix's stock price fell $2.37 per share, or 2.65%, to close at $87.14 per share on March 27, 2026.

On April 2, 2026, UBS likewise issued a report on Wix, downgrading it to a "Neutral" from "Buy" rating, and cutting its PT on the Company to $96.00 from $145.00, "after re-evaluating its growth algorithm for the core business and its margin profile."

On this news, Wix's stock price fell $8.55 per share, or 9.45%, to close at $81.95 per share on April 2, 2026.

On April 7, 2026, Citizens issued an investor note on Wix, downgrading it to a "Market Perform" from "Market Outperform" rating based on, inter alia, increased costs associated with Base44 and competition concerns.

On this news, Wix's stock price fell $3.26 per share, or 3.87%, to close at $80.99 per share on April 7, 2026.

Then, on May 13, 2026, Wix reported its Q1 2026 results, including earnings and revenue below consensus expectations, and a sharp decline in operating margins that it largely attributed to softness in its professional developer business. On a related earnings call held the same day, Defendants acknowledged that Wix's professional developer customers were using competing AI tools, the Company's new Wix Harmony platform had "holes" and "missing capabilities," there had been delays in delivering product updates and innovation to professional developer customers, and as a result the Company had fallen behind "the workflow and the needs of" professional developers.

On this news, Wix's stock price fell $20.56 per share, or 27.1%, to close at $55.32 per share on May 13, 2026.

Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered billions of dollars in damages awards on behalf of class members. See www.pomlaw.com. 

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CONTACT: 
Danielle Peyton 
Pomerantz LLP 
[email protected] 
646-581-9980 ext. 7980

SOURCE Pomerantz LLP