- Wix.com ( NASDAQ: WIX ) rose 5% in premarket trading after activist Starboard Value discussed its stake Web development company at a conference.
- Wix ( WIX ) has significant upside potential and a significant margin expansion opportunity, according to traders, who cited Bloomberg headlines from Starboard Value head Jeff Smith, who was speaking at the 13D Monitor Active-Passive Summit conference in New York City.
- Smith's comments come after a Reuters report last month that Starboard Starboard Value took a 9% stake in Wix ( WIX ). Starboard is said to have talked to the Web development company about how it can improve its operations.
- The reported Starboard Wix ( WIX ) stake comes after Starboard also disclosed a stake in GoDaddy ( GDDY ) late last year and said in a filing at the time that it believed the shares were "undervalued." Smith in late March said that his relationship with GoDaddy ( GDDY ) had been great since the fund took a position in the website developer.
- Late last month Wix.com was upgraded at Oppenheimer, citing activist involvement as "positive catalyst."
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Wix gains after activist Starboard discusses upside potential at conference