Shopify Target of Unusually Large Options Trading (NASDAQ:SHOP)

Shopify Inc. (NASDAQ:SHOP) (TSE:SHOP) was the target of some unusual options trading on Monday. Investors bought 76,616 call options on the stock. This represents an increase of 83% compared to the average volume of 41,763 call options.

Shopify Price Performance

Shares of SHOP opened at $149.00 on Tuesday. The stock has a market capitalization of $193.65 billion, a PE ratio of 83.24, a price-to-earnings-growth ratio of 6.65 and a beta of 2.69. The business’s fifty day moving average price is $140.41 and its 200 day moving average price is $115.83. Shopify has a 12-month low of $69.84 and a 12-month high of $159.01.

Shopify (NASDAQ:SHOP) (TSE:SHOP) last released its earnings results on Wednesday, August 6th. The software maker reported $0.35 earnings per share for the quarter, beating the consensus estimate of $0.29 by $0.06. Shopify had a net margin of 23.42% and a return on equity of 12.30%. The firm had revenue of $2.68 billion during the quarter, compared to analyst estimates of $2.55 billion. During the same quarter in the previous year, the firm earned $0.26 earnings per share. The firm’s revenue for the quarter was up 31.1% compared to the same quarter last year. As a group, research analysts anticipate that Shopify will post 1.12 earnings per share for the current fiscal year.

Institutional Trading of Shopify

A number of institutional investors and hedge funds have recently made changes to their positions in SHOP. Family Legacy Financial Solutions LLC bought a new position in Shopify during the 2nd quarter worth $25,000. Financial Gravity Companies Inc. bought a new position in shares of Shopify during the second quarter worth about $27,000. Rothschild Investment LLC increased its holdings in shares of Shopify by 47.5% in the 2nd quarter. Rothschild Investment LLC now owns 233 shares of the software maker’s stock worth $27,000 after acquiring an additional 75 shares during the period. Tradewinds Capital Management LLC lifted its position in Shopify by 71.4% in the 2nd quarter. Tradewinds Capital Management LLC now owns 240 shares of the software maker’s stock valued at $28,000 after purchasing an additional 100 shares during the last quarter. Finally, Coastline Trust Co bought a new stake in Shopify in the 2nd quarter valued at about $29,000. 69.27% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on SHOP. Bank of America increased their price objective on shares of Shopify from $110.00 to $185.00 and gave the company a “buy” rating in a research report on Thursday, August 7th. Wedbush raised their price target on shares of Shopify from $115.00 to $160.00 and gave the company an “outperform” rating in a report on Thursday, August 7th. Arete reissued a “neutral” rating on shares of Shopify in a research report on Wednesday, July 23rd. TD Securities lifted their target price on Shopify from $145.00 to $170.00 and gave the stock an “outperform” rating in a research report on Thursday, August 7th. Finally, Mizuho boosted their price target on Shopify from $85.00 to $150.00 and gave the stock a “neutral” rating in a research note on Thursday, August 7th. Twenty-three equities research analysts have rated the stock with a Buy rating, twenty have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $151.69.

Shopify Company Profile

Shopify Inc, a commerce company, provides a commerce platform and services in Canada, the United States, Europe, the Middle East, Africa, the Asia Pacific, Australia, China, and Latin America. The company’s platform enables merchants to displays, manages, markets, and sells its products through various sales channels, including web and mobile storefronts, physical retail locations, pop-up shops, social media storefronts, native mobile apps, buy buttons, and marketplaces; and enables to manage products and inventory, process orders and payments, fulfill and ship orders, new buyers and build customer relationships, source products, leverage analytics and reporting, manage cash, payments and transactions, and access financing.