Shopify (NASDAQ:SHOP) Trading Up 4% – Still a Buy?

Posted by Stanley Muller on May 20th, 2026

Shopify Inc. (NASDAQ:SHOP – Get Free Report) (TSE:SHOP)’s stock price traded up 4% on Wednesday . The stock traded as high as $105.12 and last traded at $105.01. 8,076,842 shares changed hands during mid-day trading, a decline of 30% from the average session volume of 11,521,815 shares. The stock had previously closed at $101.01.

Key Stories Impacting Shopify

Here are the key news stories impacting Shopify this week:

Positive Sentiment: Thrive Capital’s rare $100 million investment has drawn fresh attention to Shopify’s AI efforts and may signal confidence in the company’s long-term valuation and commerce platform strategy. Thrive Capital’s AI Bet On Shopify (SHOP) Sparks Fresh Look At Valuation
Positive Sentiment: Shopify’s earnings call was described as signaling AI-fueled growth, reinforcing the view that AI features could support merchant adoption, efficiency, and future revenue expansion. Shopify Earnings Call Signals AI-Fueled Growth
Positive Sentiment: Analysts highlighted Shopify’s $67 billion payments volume, 67% payments penetration, and 59% growth in Shop Pay, suggesting more room to monetize merchants and expand Merchant Solutions revenue. Can Shopify’s $67B Payments Volume Deepen Its Monetization Runway?
Positive Sentiment: Baron Capital said Shopify is benefiting from the AI transition, adding to the bullish investor narrative around the company’s growth prospects. Here’s How Shopify (SHOP) is Thriving Through the AI Transition
Neutral Sentiment: Loomis Sayles’ Global Growth Fund said it continues to hold Shopify, but the article mainly reflects portfolio commentary rather than a new company-specific development. Loomis Sayles Global Growth Fund Holds Firm on Shopify (SHOP) Beyond AI Narrative
Neutral Sentiment: Freshworks’ customer awards included Shopify among honorees, but this appears to be a recognition item with limited direct stock impact. Freshworks Announces Winners of the 2026 Global Customer Awards
Neutral Sentiment: Articles comparing Shopify with Amazon and discussing its long-term upside reinforce investor interest, but they do not add much new fundamental information. Shopify vs Amazon. One Just Beat Earnings by 60% at a Third of the Multiple.
Neutral Sentiment: Another long-term bullish write-up suggests Shopify remains on investors’ radar as a potential decade-long compounder, but it is mostly sentiment-driven. Is Shopify Inc. (SHOP) Among Stocks That Will Make You Rich Over the Next Decade?

Wall Street Analyst Weigh In

Several analysts recently weighed in on the stock. Wedbush cut their price objective on shares of Shopify from $185.00 to $160.00 and set an “outperform” rating on the stock in a research report on Thursday, February 12th. Royal Bank Of Canada reiterated an “outperform” rating and issued a $170.00 price objective on shares of Shopify in a research report on Wednesday, May 6th. Barclays set a $126.00 price objective on shares of Shopify and gave the company an “equal weight” rating in a research report on Wednesday, May 6th. TD Cowen upgraded shares of Shopify from a “hold” rating to a “buy” rating and set a $159.00 price objective on the stock in a research report on Wednesday, February 11th. Finally, KeyCorp reiterated an “overweight” rating and issued a $160.00 price objective on shares of Shopify in a research report on Wednesday, February 11th. Two research analysts have rated the stock with a Strong Buy rating, thirty-one have given a Buy rating and ten have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $158.42.

Read Our Latest Research Report on SHOP

Shopify Trading Up 4.0%

The company has a market capitalization of $136.27 billion, a P/E ratio of 103.97, a P/E/G ratio of 2.87 and a beta of 2.64. The business’s 50-day simple moving average is $117.88 and its 200 day simple moving average is $137.06.

Shopify (NASDAQ:SHOP – Get Free Report) (TSE:SHOP) last released its quarterly earnings results on Tuesday, May 5th. The software maker reported $999.00 EPS for the quarter, topping analysts’ consensus estimates of $0.22 by $998.78. Shopify had a net margin of 10.77% and a return on equity of 12.07%. The company had revenue of $3.17 billion for the quarter, compared to the consensus estimate of $3.08 billion. As a group, sell-side analysts predict that Shopify Inc. will post 1.36 EPS for the current fiscal year.

Hedge Funds Weigh In On Shopify

Several hedge funds have recently made changes to their positions in the business. Twin Peaks Wealth Advisors LLC grew its stake in shares of Shopify by 1.7% in the 3rd quarter. Twin Peaks Wealth Advisors LLC now owns 3,448 shares of the software maker’s stock worth $512,000 after purchasing an additional 59 shares during the last quarter. Moloney Securities Asset Management LLC grew its stake in shares of Shopify by 1.8% in the 3rd quarter. Moloney Securities Asset Management LLC now owns 3,951 shares of the software maker’s stock worth $587,000 after purchasing an additional 70 shares during the last quarter. Seros Financial LLC grew its stake in shares of Shopify by 2.7% in the 3rd quarter. Seros Financial LLC now owns 2,856 shares of the software maker’s stock worth $424,000 after purchasing an additional 75 shares during the last quarter. First Affirmative Financial Network grew its stake in shares of Shopify by 3.4% in the 3rd quarter. First Affirmative Financial Network now owns 2,275 shares of the software maker’s stock worth $338,000 after purchasing an additional 75 shares during the last quarter. Finally, TBH Global Asset Management LLC grew its stake in shares of Shopify by 1.2% in the 4th quarter. TBH Global Asset Management LLC now owns 6,438 shares of the software maker’s stock worth $1,036,000 after purchasing an additional 75 shares during the last quarter. Institutional investors and hedge funds own 69.27% of the company’s stock.

About Shopify

(Get Free Report)

Shopify is a Canadian commerce technology company that provides a cloud-based platform for businesses to create, manage and scale online and physical retail stores. Its core offering is a software-as-a-service e-commerce platform that enables merchants to build customizable storefronts, manage product catalogs, process orders, and handle inventory. Shopify also supports omnichannel selling through integrated point-of-sale (POS) systems for in-person transactions.

Beyond storefront software, Shopify offers a range of merchant services and tools designed to simplify commerce operations.