Wix.com WIX shares rallied 6.5% in the last trading session to close at $183.64. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 2.9% gain over the past four weeks.

The increase in share price can be attributed to strong topline performance. Higher adoption of the product portfolio, especially various artificial intelligence (AI) products and WIX Studio, has been driving the company’s performance. WIX is focusing on generative AI as this represents a significant business growth driver.

The addition of new features and enhancements to WIX Studio is driving its uptake. Management highlighted that the number of Studio accounts and rate of new Partners joining the Wix platform through Studio continue to better expectations.

As a result of a strong second quarter, management raised the 2024 outlook for bookings, revenues and free cash flow. Revenues are now expected to be $1,747-$1,761 million, up from the $1,738-$1,761 million band guided earlier. Total bookings are expected to be between $1,802 million and $1,822 million compared with a previous range of $1,796-$1,826 million.

This cloud-based web development company is expected to post quarterly earnings of $1.44 per share in its upcoming report, which represents a year-over-year change of +30.9%. Revenues are expected to be $443.27 million, up 12.6% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For Wix.com, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on WIX going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Wix.com is part of the Zacks Computers - IT Services industry. Accenture ACN, another stock in the same industry, closed the last trading session 0.5% higher at $357.30. ACN has returned -1.4% in the past month.

For Accenture , the consensus EPS estimate for the upcoming report has changed -0.3% over the past month to $3.39. This represents a change of +3.7% from what the company reported a year ago. Accenture currently has a Zacks Rank of #2 (Buy).