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Shopify (SHOP) Stock Price, News & Analysis

$68.77
+0.20 (+0.29%)
(As of 12:22 PM ET)
Today's Range
$68.02
$69.15
50-Day Range
$68.55
$90.73
52-Week Range
$45.50
$91.57
Volume
3.62 million shs
Average Volume
9.46 million shs
Market Capitalization
$88.48 billion
P/E Ratio
764.20
Dividend Yield
N/A
Price Target
$78.00

Shopify MarketRank™ Stock Analysis

Analyst Rating
Hold
2.31 Rating Score
Upside/​Downside
13.4% Upside
$78.00 Price Target
Short Interest
Healthy
1.41% of Float Sold Short
Dividend Strength
N/A
Sustainability
-1.05
Upright™ Environmental Score
News Sentiment
0.53mentions of Shopify in the last 14 days
Based on 25 Articles This Week
Insider Trading
N/A
Proj. Earnings Growth
52.63%
From $0.57 to $0.87 Per Share

Overall MarketRank

New Rank-Based ScoringMarketRank is calculated by averaging available category scores (with extra weight given to analysis and valuation), then ranking the company's weighted average against that of other companies.

4.13 out of 5 stars

Computer And Technology Sector

144th out of 592 stocks

Prepackaged Software Industry

39th out of 201 stocks

SHOP stock logo

About Shopify Stock (NYSE:SHOP)

Shopify Inc. is a commerce platform and eCommerce infrastructure provider connecting small businesses with a large and growing global marketplace. The company was formed in 2004 in Ottawa, Canada as Jaded Pixel Technologies but changed its name to Shopify Inc in 2011. The name change was part of a rebranding strategy that helped accelerate the business and drive it to $5.5 billion in sales in 2022.

As of October 2022, the company boasted “millions” of merchants in 175 countries with more than $543 billion in economic activity generated since launch. In terms of scale, Shopify employs more than 10,000 individuals and is among the top 20 publicly traded companies in Canada.

Shopify was founded by Tobi Lütke. Mr. Lütke had been working on a website for a snowboard store but quickly realized the software was more valuable than just selling snowboards so his team switched gears. The platform was launched in 2006 and it quickly gained momentum. Mr. Lütke is a member of the board of directors and the company’s CEO, a position he has held since 2008.

Shopify is a commerce company but, more importantly, it is an eCommerce commerce company that can assist small businesses with all aspects of their operations. The company is in business to provide an eCommerce platform for small businesses globally. Its platform enables merchants to market, manage, and sell their products through a variety of sales channels that include but are not limited to eCommerce. Channels include the company’s core Shopify.com website as well as brick & mortar locations, pop-ups, social media, and buy-now buttons.

Because branding is such an important part of a business's success the company goes to great lengths to assist its merchants in that regard. The Shopify.com website includes several tools to help with branding that include a business name generator and a logo maker as well as a website builder and a full range of marketing products. Marketing products help merchants with email marketing and Facebook ads as well as automation of the same.

Among the many benefits of using Shopify is acceleration. Businesses that use the website to its fullest are able to accelerate their growth and reach milestones years ahead of their competitors. Brands that use Shopify.com include Heinz, Tupperware, and Netflix. According to data from BuiltWith, the Shopify platform was host to more than 1.58 million websites in 2021 and the figure is growing. Data from W3Techs suggest that more than 4.0% of the top 10 million websites are using Shopify.

 

SHOP Stock Price History

SHOP Stock News Headlines

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EBAY stock continues to move higher as the online marketplace is seeing strong demand in its growing collectibles business
AI “wealth window” is closing soon!
Today, I’m making my boldest prediction ever. Next-generation AI technology will create the first $100 TRILLION industry.
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Shopify (NYSE:SHOP) Stock Rating Reaffirmed by Piper Sandler
Shopify vs Amazon
AI “wealth window” is closing soon!
Today, I’m making my boldest prediction ever. Next-generation AI technology will create the first $100 TRILLION industry.
Transcript: Shopify vs Amazon
See More Headlines
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Company Calendar

Last Earnings
2/13/2024
Today
4/16/2024
Next Earnings (Estimated)
5/02/2024
Fiscal Year End
12/31/2024

Industry, Sector and Symbol

Industry
Prepackaged software
Sub-Industry
N/A
Fax
N/A
Employees
8,300
Year Founded
2004

Price Target and Rating

Average Stock Price Target
$78.00
High Stock Price Target
$110.00
Low Stock Price Target
$50.00
Potential Upside/Downside
+12.9%
Consensus Rating
Hold
Rating Score (0-4)
2.31
Research Coverage
35 Analysts

Profitability

Net Income
$132 million
Pretax Margin
2.62%

Debt

Sales & Book Value

Annual Sales
$7.06 billion
Cash Flow
$0.30 per share
Book Value
$7.05 per share

Miscellaneous

Outstanding Shares
1,286,570,000
Free Float
N/A
Market Cap
$88.19 billion
Optionable
Optionable
Beta
2.22

Social Links

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Key Executives

  • Mr. Tobias Lütke (Age 43)
    Founder, Chairman & CEO
    Comp: $1
  • Mr. Harley Finkelstein (Age 41)
    President
    Comp: $664.47k
  • Mr. Jeff J. Hoffmeister CPA
    Chief Financial Officer
  • Mr. Kasra Nejatian
    VP of Product & COO
  • Ms. Jessica R. Hertz
    General Counsel & Corporate Secretary
  • Carrie Gillard
    Director of Investor Relations
  • Ms. Bharati Balakrishnan
    Country Head & Director- India
  • Mr. Loren Padelford (Age 46)
    GM & VP of Shopify Plus
  • Mr. Arpan Podduturi
    Director of Product
  • Mr. Thomas Epting
    Director of Product for Shopify Fulfillment Network

Should I Buy Shopify Stock? SHOP Pros and Cons Explained

Pros

Here are some ways that investors could benefit from investing in Shopify Inc.:

  • Shopify's stock price has shown resilience and growth, reaching a 12-month high of $91.57.
  • Shopify reported strong quarterly earnings, surpassing analysts' expectations with a $0.04 earnings per share beat.
  • Shopify has a solid revenue stream, with $2.14 billion in revenue during the last reported quarter.
  • Institutional investors like Vanguard Group Inc. and China Universal Asset Management Co. Ltd. have been increasing their stakes in Shopify, indicating confidence in the company's future.
  • Shopify's market capitalization of $96.26 billion showcases its position as a significant player in the software industry.

Cons

Investors should be bearish about investing in Shopify Inc. for these reasons:

  • Shopify's price-to-earnings ratio of 840.65 may indicate an overvaluation compared to industry peers.
  • Shopify's beta of 2.22 suggests higher volatility compared to the market average, potentially leading to more significant price fluctuations.
  • Shopify's net margin of 1.87% indicates relatively low profitability compared to other companies in the sector.
  • Shopify's debt-to-equity ratio of 0.10 may raise concerns about the company's financial leverage and ability to manage debt effectively.
  • Shopify's stock experienced a 1.1% decline, signaling short-term market volatility that investors should consider.
These pros and cons were generated based on recent news and financial data from MarketBeat in order to provide readers with the fastest and most accurate insights. They were last updated on Wednesday, April 10, 2024. Please send any questions or comments about these Shopify pros and cons to contact@marketbeat.com.

SHOP Stock Analysis - Frequently Asked Questions

Should I buy or sell Shopify stock right now?

36 Wall Street analysts have issued "buy," "hold," and "sell" ratings for Shopify in the last year. There are currently 3 sell ratings, 19 hold ratings and 14 buy ratings for the stock. The consensus among Wall Street analysts is that investors should "hold" SHOP shares. A hold rating indicates that analysts believe investors should maintain any existing positions they have in SHOP, but not buy additional shares or sell existing shares.
View SHOP analyst ratings
or view top-rated stocks.

What is Shopify's stock price target for 2024?

36 analysts have issued 1-year price targets for Shopify's stock. Their SHOP share price targets range from $50.00 to $110.00. On average, they anticipate the company's stock price to reach $78.00 in the next twelve months. This suggests a possible upside of 13.4% from the stock's current price.
View analysts price targets for SHOP
or view top-rated stocks among Wall Street analysts.

How have SHOP shares performed in 2024?

Shopify's stock was trading at $77.90 at the beginning of the year. Since then, SHOP stock has decreased by 11.7% and is now trading at $68.77.
View the best growth stocks for 2024 here
.

When is Shopify's next earnings date?

The company is scheduled to release its next quarterly earnings announcement on Thursday, May 2nd 2024.
View our SHOP earnings forecast
.

How were Shopify's earnings last quarter?

Shopify Inc. (NYSE:SHOP) issued its earnings results on Tuesday, February, 13th. The software maker reported $0.26 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.22 by $0.04. The software maker earned $2.14 billion during the quarter, compared to the consensus estimate of $2.07 billion. Shopify had a trailing twelve-month return on equity of 4.48% and a net margin of 1.87%.

When did Shopify's stock split?

Shares of Shopify split before market open on Wednesday, June 29th 2022. The 10-1 split was announced on Monday, April 11th 2022. The newly issued shares were payable to shareholders after the market closes on Tuesday, June 28th 2022. An investor that had 100 shares of stock prior to the split would have 1,000 shares after the split.

What is Tobias Lütke's approval rating as Shopify's CEO?

468 employees have rated Shopify Chief Executive Officer Tobias Lütke on Glassdoor.com. Tobias Lütke has an approval rating of 93% among the company's employees. This puts Tobias Lütke in the top 30% of approval ratings compared to other CEOs of publicly-traded companies.

What other stocks do shareholders of Shopify own?

Based on aggregate information from My MarketBeat watchlists, some companies that other Shopify investors own include NVIDIA (NVDA), Tesla (TSLA), Alibaba Group (BABA), Netflix (NFLX), Block (SQ), Trade Desk (TTD), PayPal (PYPL), Salesforce (CRM), Walt Disney (DIS) and Advanced Micro Devices (AMD).

When did Shopify IPO?

Shopify (SHOP) raised $100 million in an IPO on Thursday, May 21st 2015. The company issued 7,700,000 shares at $12.00-$14.00 per share. Morgan Stanley, Credit Suisse and RBC Capital Markets served as the underwriters for the IPO and Pacific Crest Securities, Raymond James and Canaccord Genuity were co-managers.

Who are Shopify's major shareholders?

Shopify's stock is owned by many different institutional and retail investors. Top institutional investors include IMC Chicago LLC (0.00%), Addenda Capital Inc. (0.07%), Nepsis Inc. (0.02%), Perpetual Ltd (0.01%), Contravisory Investment Management Inc. (0.01%) and Procyon Advisors LLC (0.00%).

How do I buy shares of Shopify?

Shares of SHOP stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

Does Shopify have any subsidiaries?
The following companies are subsidiares of Shopify: 6 River Systems, 6 River Systems LLC, Boltmade, Handshake, Helpful, Jet Cooper, Kit, Oberlo, Return Magic, Select Start Studios, Shopify Capital Inc., Shopify Commerce Singapore Pte. Ltd., Shopify Holdings (USA) Inc., Shopify International Limited, Shopify LLC, Shopify Payments (Canada) Inc., Shopify Payments (USA) Inc., Tictail, and Tiny Hearts.
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This page (NYSE:SHOP) was last updated on 4/16/2024 by MarketBeat.com Staff

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