How did WIX's Q4 2024 earnings surprise impact investor sentiment?

**Wix.com's (WIX) Q4 2024 earnings surprise had a positive impact on investor sentiment**, as evidenced by several key indicators:

1. **Strong Buy Rating and Analyst Price Target**: WIX currently holds a "Strong Buy" consensus rating from analysts, with an average price target of $241.94, compared to the current price of $149.6. This suggests that analysts are optimistic about the company's future performance, which could have boosted investor confidence.

2. **Stock Price Reaction**: Following the earnings release, WIX's stock price surged to a 52-week high of $210, reflecting investor enthusiasm about the company's performance. Although the stock price has since moderated to $149.6, the peak represents a significant milestone and indicates that the earnings surprise had a positive immediate effect on investor sentiment.
3. **Earnings and Revenue Outlook**: WIX's projected total revenue for Q4 2024 ranges from $457 million to $464 million, with year-over-year growth of 13% to 15%. The company has also raised its full-year 2024 outlook, expecting revenues between $1.757 billion and $1.764 billion, compared to the previous forecast of $1.747 billion to $1.761 billion. These upward revisions likely contributed to the positive sentiment surrounding the stock.
4. **Analyst Forecasts and Bookings Growth**: Analysts have raised their forecasts on WIX following the upbeat earnings report. For instance, Piper Sandler's Clarke Jeffries increased his price target from $200 to $249, and Cantor Fitzgerald's Deepak Mathivanan raised his from $200 to $240. The optimism from analysts regarding WIX's future performance likely influenced investor sentiment.
5. **Investor Confidence**: WIX's stock gained about 49.5% since the beginning of the year, outperforming the S&P 500's 24.1% gain. This strong performance indicates that investors have had confidence in WIX's business model and future prospects, which could be attributed to the positive earnings surprise.

In conclusion, Wix.com's Q4 2024 earnings surprise has likely had a net positive effect on investor sentiment, as reflected in the stock price surge, optimistic analyst ratings and price target increases, and the company's raised revenue and bookings guidance.