Robbins LLP Is Investigating Allegations that Wix.com Ltd. (WIX) Misled Investors Regarding the Competitiveness and Performance of its AI Offerings and Understated the Expense of Developing and Promoting its Products

Robbins LLP informs investors that a securities class action has been filed on behalf of all persons and entities that purchased or otherwise acquired Wix.com Ltd. (NASDAQ: WIX) securities between February 19, 2025 and May 12, 2026, inclusive (the "Class Period"). Investors who suffered significant losses during the Class Period may be eligible to participate in the lawsuit and should contact Robbins LLP for information about becoming lead plaintiff.

Why Was Wix.com Sued?

The complaint alleges that Wix.com made materially false or misleading statements regarding its business, operations, and prospects during the Class Period.

Specifically, the lawsuit alleges that defendants failed to disclose that:

• Wix overstated the competitiveness and performance of its AI product offerings relative to those offered by other companies;
• Wix understated the costs associated with developing and promoting its AI product offerings;
• accordingly, defendants overstated the commercial and financial benefits of Wix’s AI product offerings; and
• therefore, defendants’ public statements were materially false and misleading at all relevant times.

What Happened?

Plaintiff alleges that on May 21, 2025, Wix announced disappointing financial results for the first quarter of 2025, including revenue guidance in the range of $1.97 billion to $2 billion, short of analysist expectations. 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 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. 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.

Then, on March 27, 2026, JPMorgan downgraded Wix to an "Underweight" from "Neutral" rating.  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 downgraded Wix to a “Neutral” from “Buy” rating, “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. 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 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.

Who is Eligible?

The lawsuit seeks to represent investors who purchased or otherwise acquired Wix.com Ltd. securities from February 19, 2025 and May 12, 2026. Investors who suffered losses during that period may have legal rights under the federal securities laws. Submit a form for Information.