SHOP Relative Valuation
SHOP'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 is overvalued; if below, it's undervalued.
Historical Valuation
Shopify Inc (SHOP) is now in the Fair zone, suggesting that its current forward PS ratio of 12.68 is considered Fairly compared with the five-year average of 18.62. The fair price of Shopify Inc (SHOP) is between 52.41 to 207.79 according to relative valuation methord.
Relative Value
Fair Zone
52.41-207.79
Current Price：101.51
Fair
Trailing
Forward
P/E
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
13.02
P/B
Median3y
9.13
Median5y
12.84
1.20
FCF Yield
Median3y
0.64
Median5y
0.49
Competitors Valuation Multiple
The average P/S ratio for SHOP's competitors is 5.88, providing a benchmark for relative valuation. Shopify Inc Corp (SHOP) exhibits a P/S ratio of 12.68, which is 115.50% above the industry average. Given its robust revenue growth of 26.81%, this premium appears sustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
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FAQ
Is Shopify Inc (SHOP) currently overvalued or undervalued?
What is Shopify Inc (SHOP) fair value?
How does SHOP's valuation metrics compare to the industry average?
What is the current P/B ratio for Shopify Inc (SHOP) as of May 24 2025?
What is the current FCF Yield for Shopify Inc (SHOP) as of May 24 2025?
What is the current Forward P/E ratio for Shopify Inc (SHOP) as of May 24 2025?