SHOP.N Relative Valuation
SHOP.N's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, SHOP.N is overvalued; if below, it's undervalued.
Historical Valuation
Shopify Inc (SHOP.N) is now in the Undervalued zone, suggesting that its current forward PS ratio of 0.00 is considered Undervalued compared with the five-year average of -39.04. The fair price of Shopify Inc (SHOP.N) is between +Inf to +Inf according to relative valuation methord. Compared to the current price of 161.08 USD , Shopify Inc is Undervalued By Fair.
Relative Value
Fair Zone
+Inf-+Inf
Current Price：161.08
Fair
Undervalued
96.81
PE
1Y
3Y
5Y
Trailing
Forward
87.56
EV/EBITDA
Shopify Inc. (SHOP.N) has a current EV/EBITDA of 87.56. The 5-year average EV/EBITDA is 11.48. The thresholds are as follows: Strongly Undervalued below -952.19, Undervalued between -952.19 and -470.36, Fairly Valued between 493.32 and -470.36, Overvalued between 493.32 and 975.16, and Strongly Overvalued above 975.16. The current Forward EV/EBITDA of 87.56 falls within the Historic Trend Line -Fairly Valued range.
88.68
EV/EBIT
Shopify Inc. (SHOP.N) has a current EV/EBIT of 88.68. The 5-year average EV/EBIT is 92.99. The thresholds are as follows: Strongly Undervalued below -608.46, Undervalued between -608.46 and -257.73, Fairly Valued between 443.72 and -257.73, Overvalued between 443.72 and 794.45, and Strongly Overvalued above 794.45. The current Forward EV/EBIT of 88.68 falls within the Historic Trend Line -Fairly Valued range.
15.76
PS
Shopify Inc. (SHOP.N) has a current PS of 15.76. The 5-year average PS is 15.98. The thresholds are as follows: Strongly Undervalued below -3.74, Undervalued between -3.74 and 6.12, Fairly Valued between 25.83 and 6.12, Overvalued between 25.83 and 35.69, and Strongly Overvalued above 35.69. The current Forward PS of 15.76 falls within the Historic Trend Line -Fairly Valued range.
88.04
P/OCF
Shopify Inc. (SHOP.N) has a current P/OCF of 88.04. The 5-year average P/OCF is 83.45. The thresholds are as follows: Strongly Undervalued below -293.54, Undervalued between -293.54 and -105.04, Fairly Valued between 271.94 and -105.04, Overvalued between 271.94 and 460.43, and Strongly Overvalued above 460.43. The current Forward P/OCF of 88.04 falls within the Historic Trend Line -Fairly Valued range.
89.43
P/FCF
Shopify Inc. (SHOP.N) has a current P/FCF of 89.43. The 5-year average P/FCF is 68.85. The thresholds are as follows: Strongly Undervalued below -350.32, Undervalued between -350.32 and -140.74, Fairly Valued between 278.43 and -140.74, Overvalued between 278.43 and 488.02, and Strongly Overvalued above 488.02. The current Forward P/FCF of 89.43 falls within the Historic Trend Line -Fairly Valued range.
Shopify Inc (SHOP.N) has a current Price-to-Book (P/B) ratio of 16.75. Compared to its 3-year average P/B ratio of 10.99 , the current P/B ratio is approximately 52.50% higher. Relative to its 5-year average P/B ratio of 11.78, the current P/B ratio is about 42.23% higher. Shopify Inc (SHOP.N) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 0.77%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 0.60% , the current FCF yield is about -100.00% lower.
16.75
P/B
Median3y
10.99
Median5y
11.78
0.91
FCF Yield
Median3y
0.77
Median5y
0.60
Competitors Valuation Multiple
The average P/S ratio for SHOP.N's competitors is 5.58, providing a benchmark for relative valuation. Shopify Inc Corp (SHOP.N) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of %, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of SHOP.N increased by 51.49% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 60.72 to 118.84.
The secondary factor is the Revenue Growth, contributed 31.54%to the performance.
Overall, the performance of SHOP.N in the past 1 year is driven by P/E Change. Which is more unsustainable.
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FAQ
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