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Wix.com (WIX) Joins Nvidia (NVDA) as Standout Tech Stocks to Buy After Earnings

Nvidia’s NVDA stellar Q4 results and captivating outlook helped push markets higher on Thursday with the S&P 500 up roughly +2% and eclipsing record levels while the Nasdaq spiked +3%.

Revealing that the AI revolution has remained jubilant, Nvidia was joined by Wix.com WIX in regard to standout tech stocks that are keeping market sentiment high after beating their earnings expectations yesterday. Both stocks were added to the Zacks Rank #1 (Strong Buy) list today with NVDA shares soaring +16% on Thursday while WIX rose +2% after spiking as much as 6% in this mornings trading session. 

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Zacks Investment Research


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AI Innovators in Top-Rated Industries

Nvidia’s Zacks Semiconductor-General Industry and Wix.com’s Zacks Computers-IT Services Industry are currently in the top 42% of over 250 Zacks industries. The storyline of Nvidia’s growth and the incredible price performance of its stock has centered around high demand for its artificial intelligence chips with AI also giving Wix.com’s cloud-based web development platform a boost.

Showing the full swing of AI between these particular industries, Nvidia’s chips have enhanced Dell Technologies DELL IT services and powered its generative AI solutions to enterprises. Notably, Dell’s stock sports a Zacks Rank #2 (Buy) and spiked +8% today on the strength of Nvidia’s Q4 report with its quarterly results due next Thursday. As for Wix.com, the company has built on its nearly decade of AI research and development launching a suite of new genAI and AI tools last year including AI Chat Experience for Business, AI Code Assistant, and AI Site Generator.

Stellar Q4 Results

Delivering on another quarter of unprecedented growth Nvidia reported Q4 earnings of $5.16 per share which topped expectations by 13% and skyrocketed 486% from $0.88 a share in the comparative quarter. On the top line, Q4 sales of $22.1 billion came in 9% better than expected and soared 265% from $6.05 billion a year ago.

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Zacks Investment Research


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Looking at Wix.com’s results, Q4 earnings of $1.22 per share crushed the Zacks Consensus of $0.98 a share by 24%. Fourth quarter earnings leaped 100% year over year with sales of $403.77 million rising 14% and slightly surpassing estimates of $402.61 million. More compelling, Wix.com has now surpassed earnings expectations for seven consecutive quarters posting an astonishing average earnings surprise of 124% in its last four quarterly reports.

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Zacks Investment Research


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Reassuring Revenue Guidance

Nvidia’s growth trajectory continues to amaze Wall Street with the chip giant forecasting Q1 revenue of $24 billion plus or minus 2%. This would be a 234% increase from Nvidia’s Q1 2024 sales of $7.19 billion and impressively above the current Zacks Consensus of $21.56 billion (Current QTR). 

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Zacks Investment Research


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Most intriguing about Wix.com’s outlook is that the company reintroduced its bookings guidance based on what it stated was improved visibility and a tremendous amount of confidence in its business. Wix.com attributed its promising business outlook to a strengthening macro environment, strong cohort behavior, and the milestone of launching its AI initiatives.

For Q1 Wix.com expects sales growth of 11-12% or $415-$419 million. This comes in range of Zacks estimates of $418.05 million. Wix.com also gave total revenue guidance for its current fiscal 2024 of 11-13% sales growth or $1.73-$1.76 billion which lies between expectations of $1.75 billion. Wix.com expects its total bookings to accelerate 12-14% YoY at $1.78-$1.81 billion.

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Zacks Investment Research


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Bottom Line  

Nvidia and Wix.com continue to build on their developments as AI innovators and tech leaders. The artificial intelligence frenzy should continue to propel their growth and lead to more upside in NVDA and WIX shares as many analysts start to readjust their price targets higher.

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