Stock Price & Analysis

Based on the recent price action and fundamental analysis, here's a concise assessment of SHOP:

Technical Analysis:

• SHOP has experienced a significant decline of 6.41% in the last trading session [Relevant Data]
• The stock is showing weakness after hitting resistance around $80-82 level
• Current price at $76.24 indicates a potential short-term downtrend forming

Fundamental Factors:

• Shopify received a high rating of 77% using the P/B Growth Investor model, indicating strong potential for future growth
• The company continues to demonstrate strong revenue growth with a 26% increase year-over-year
• Shopify maintains its position as the largest U.S. e-commerce platform with 30% market share

Market Sentiment:

• Recent analyst ratings show mixed sentiment:
  • RBC Capital: Outperform with $130 target
  • Wedbush: Upgraded to Outperform with $125 target
  • MoffettNathanson: Neutral with $99 target

Recommendation: SELL

• Technical indicators suggest short-term weakness
• Valuation appears stretched at current levels
• Consider taking profits and waiting for a better entry point around support levels

Based on the provided data and recent analyst reports, here's a price prediction for Shopify (SHOP) in 2025:

SHOP's stock price is projected to reach $145-150 by end of 2025, representing a 25-30% upside from current levels, driven by continued e-commerce market expansion and improved profitability. The company's strong market position with 29% U.S. market share and 10% global share positions it well for sustained growth in the $29 trillion e-commerce market. Recent Q4 2024 results showed 26% revenue growth to $8.9 billion with $2 billion in net income, demonstrating successful execution of its growth strategy.

The key drivers supporting this target include:

• Projected mid-20s revenue growth rate through 2025
• Industry CAGR of 19% through 2030 per Grand View Research
• Strong analyst support with price targets ranging $120-130 from top firms like RBC Capital and Wedbush

The S1 support level for SHOP Stock is $110.99 ,The R1 resistant level for SHOP Stock is $128.09.

As of the end of day on 2025-02-26, the price of SHOP Stock was $112.02.

The target price for SHOP Stock according to analyst rating is 131.72, with the highest price target at 175.00 and the lowest at 100.00. Analysts have a Moderate Buy rating on SHOP Stock overall.

The market cap of SHOP is $143.7B.

Based on the provided data and recent market activity, let's analyze if SHOP is overvalued:

Valuation Analysis SHOP currently trades at elevated multiples with a P/S ratio of 7.85x and P/B ratio of 5.37x, indicating rich valuation compared to historical averages.

Growth & Profitability Revenue grew 31% YoY to $2.81 billion in Q4 2024, with subscription revenue up 27% and merchant solutions up 33%. GMV increased 26% to $94.5 billion, showing strong business momentum.

Market Position SHOP holds 29% market share in US e-commerce platforms and 10% globally, demonstrating strong competitive positioning in a $29 trillion market growing at 19% CAGR through 2030.

Technical Analysis The stock has dropped over 6% recently after rising 350% from October 2022 lows, suggesting potential valuation concerns from investors despite strong fundamentals.

Verdict While SHOP shows robust growth and market leadership, current valuation multiples appear stretched relative to growth rates and profitability metrics, making the stock overvalued at current levels.

Shopify Inc. (Shopify) is a Canada-based global commerce company. The Company provides essential Internet infrastructure for commerce, offering tools to start, grow, market and manage a retail business of any size. It provides platforms and services that are engineered and delivers a shopping experience for consumers online, in store and everywhere in between. Its software enables merchants to run their business across all of their sales channels, including Web and mobile storefronts, physical retail locations, social media storefronts, and marketplaces. The Company's Shopify platform provides merchants with a single view of their business across all of their sales channels and enables them to manage products and inventory, process orders and payments, fulfill and ship orders, build customer relationships, source products, leverage analytics and reporting, and access financing, all from one integrated back office. The Shopify's platform operates across 175 countries.

Based on the available data and recent market analysis, here's a projection for Shopify (SHOP) stock price in 2030:

SHOP's stock price is projected to reach $350-400 by 2030, driven by continued e-commerce market expansion and the company's strong positioning in the global retail software platform market. The company's dominant 29% U.S. market share and growing international presence, combined with its projected mid-twenties percentage revenue growth rate, support this bullish outlook.

The growth trajectory is supported by the e-commerce industry's expected 19% CAGR through 2030 in what has already become a $29 trillion market. With Shopify's current 10% global market share and leadership position in e-commerce software platforms, the company is well-positioned to capitalize on this expansion.

SHOP has a total of 8300 employees.