Shopify Inc. (NASDAQ:SHOP – Get Free Report) (TSE:SHOP) shares gapped down before the market opened on Tuesday . The stock had previously closed at $127.55, but opened at $116.05. Shopify shares last traded at $117.32, with a volume of 5,807,782 shares.
Key Shopify News
Here are the key news stories impacting Shopify this week:
- Positive Sentiment: Q1 beat on EPS and revenue: Shopify reported Q1 EPS of $0.36, above the Zacks consensus of $0.32, and topped revenue expectations — a sign the business is growing while moving toward profitability. Shopify (SHOP) Tops Q1 Earnings and Revenue Estimates
- Positive Sentiment: Strong top-line momentum & merchant activity: Shopify reported ~34% revenue growth and merchants cleared over $100 billion in Q1 GMV, reinforcing platform demand and ecosystem strength. Shopify Delivers Again as Merchants Clear $100 Billion in Q1 GMV
- Positive Sentiment: Profitability progress: WSJ and company commentary note a narrowed loss and rising subscription revenue, with free cash flow margins reported around 15% — evidence Shopify is improving unit economics even as it invests. Shopify Loss Narrows as Revenue Climbs on Subscription
- Neutral Sentiment: Q2 guidance roughly in line: the company issued revenue guidance around the mid-$3.4B range for Q2 (roughly consistent with consensus), which reduces the element of an upside surprise and likely tempered investor enthusiasm. (Company release / briefing)
- Positive Sentiment: Analyst views: some outlets highlight that Wall Street still sees meaningful upside after the recent pullback (average price target materially above current levels), suggesting longer-term upside if growth/margin execution continues. Analysts See 27% Upside for Shopify After 30% Selloff
- Negative Sentiment: Margin and investment concerns: analysts and previews warned that Shop Pay, AI initiatives and other growth investments could pressure near-term margins — investors may be selling into a beat because the company is prioritizing growth over near-term margin expansion. Shopify Stock Before Q1 Earnings: Smart Buy or Risky Move?
- Negative Sentiment: High valuation + recent selloff increases volatility: Shopify’s premium multiple and high beta mean even good results can spark pronounced price moves; the recent large drawdown left expectations and positioning fragile. Shopify Gears Up For Q1 Print; Here Are The Recent Forecast Changes From Wall Street’s Most Accurate Analysts
Wall Street Analysts Forecast Growth
Several brokerages have recently issued reports on SHOP. Barclays set a $130.00 price objective on Shopify and gave the company an “equal weight” rating in a research report on Thursday, February 12th. ATB Cormark Capital Markets upgraded Shopify from a “sector perform” rating to an “outperform” rating in a research report on Tuesday, February 10th. Phillip Securities upgraded Shopify from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, February 18th. Arete Research set a $175.00 price objective on Shopify in a research report on Monday, February 2nd. Finally, Moffett Nathanson upgraded Shopify from a “neutral” rating to a “buy” rating and set a $150.00 price objective on the stock in a research report on Monday, February 9th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-one have given a Buy rating and ten have given a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $164.19.
Shopify Price Performance
The firm has a market capitalization of $148.46 billion, a PE ratio of 122.41, a P/E/G ratio of 4.54 and a beta of 2.64. The company has a 50-day moving average price of $122.49 and a 200-day moving average price of $141.99.
Shopify (NASDAQ:SHOP – Get Free Report) (TSE:SHOP) last released its earnings results on Tuesday, May 5th. The software maker reported $999.00 EPS for the quarter, beating the consensus estimate of $0.22 by $998.78. Shopify had a return on equity of 11.52% and a net margin of 10.65%. On average, research analysts predict that Shopify Inc. will post 1.36 earnings per share for the current fiscal year.
Hedge Funds Weigh In On Shopify
Several institutional investors have recently added to or reduced their stakes in SHOP. Kingdom Financial Group LLC. acquired a new position in Shopify in the fourth quarter valued at $26,000. Curio Wealth LLC acquired a new position in Shopify in the fourth quarter valued at $27,000. Evolution Wealth Management Inc. increased its stake in Shopify by 203.9% in the first quarter. Evolution Wealth Management Inc. now owns 231 shares of the software maker’s stock valued at $27,000 after purchasing an additional 155 shares during the last quarter. Mowery & Schoenfeld Wealth Management LLC acquired a new position in Shopify in the fourth quarter valued at $29,000. Finally, Lodestone Wealth Management LLC acquired a new position in Shopify in the fourth quarter valued at $31,000. 69.27% of the stock is currently owned by institutional investors and hedge funds.
About Shopify
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.
Featured Articles
Receive News & Ratings for Shopify Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Shopify and related companies with MarketBeat.com's FREE daily email newsletter.
