UPDATE: J.P. Morgan Initiates Coverage on Wix.com Ltd. with Overweight, $32 PT on Next-Generation Web Publishing Platform

In a report published Monday, J.P. Morgan analyst Sterling Auty initiated coverage on

with an Overweight rating and $32.00 price target. In the report, J.P. Morgan noted, “We are initiating coverage on Wix.com with an Overweight rating and $32 December 2014 price target. Roughly 41M users have flocked to Wix since its inception – including over 35M in the last 3.5 years – to build websites to publish information on the Internet in Flash, HTML5, and now mobile formats. This rapid adoption in recent years, in our opinion, shows the Internet community's acceptance of the Wix technology platform. Those ~41M free users have led to over 700K premium subscriptions, and we expect continued growth and conversion of free users to premium, along with growing ARPU from increased application adoption and pricing, to lead to 79% revenue growth in 2013E and a 33% CAGR 2013-18E.” Wix.com Ltd. closed on Friday at $20.50.