Critical Survey: Shopify (NASDAQ:SHOP) and Maquia Capital Acquisition (NASDAQ:MAQC)

Shopify (NASDAQ:SHOP) and Maquia Capital Acquisition (NASDAQ:MAQC) are both computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, dividends, valuation, earnings, risk, analyst recommendations and profitability.

Profitability

This table compares Shopify and Maquia Capital Acquisition’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Shopify	23.42%	12.30%	10.17%
Maquia Capital Acquisition	N/A	-10.66%	10.86%

Institutional & Insider Ownership

69.3% of Shopify shares are owned by institutional investors. Comparatively, 12.4% of Maquia Capital Acquisition shares are owned by institutional investors. 92.7% of Maquia Capital Acquisition shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Volatility & Risk

Shopify has a beta of 2.73, indicating that its share price is 173% more volatile than the S&P 500. Comparatively, Maquia Capital Acquisition has a beta of -0.03, indicating that its share price is 103% less volatile than the S&P 500.

Earnings and Valuation

This table compares Shopify and Maquia Capital Acquisition”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Shopify	$8.88 billion	23.94	$2.02 billion	$1.79	91.39
Maquia Capital Acquisition	N/A	N/A	-$960,000.00	($0.03)	-376.67

Shopify has higher revenue and earnings than Maquia Capital Acquisition. Maquia Capital Acquisition is trading at a lower price-to-earnings ratio than Shopify, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Shopify and Maquia Capital Acquisition, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shopify	1	22	22	1	2.50
Maquia Capital Acquisition	0	0	0	0	0.00

Shopify currently has a consensus price target of $156.57, suggesting a potential downside of 4.29%. Given Shopify’s stronger consensus rating and higher probable upside, analysts plainly believe Shopify is more favorable than Maquia Capital Acquisition.

Summary

Shopify beats Maquia Capital Acquisition on 12 of the 14 factors compared between the two stocks.

About Shopify

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. It also sells custom themes and apps, and registration of domain names; and merchant solutions, which include accepting payments, shipping, and securing working capital. The company was formerly known as Jaded Pixel Technologies Inc. and changed its name to Shopify Inc. in November 2011. Shopify Inc. was incorporated in 2004 and is headquartered in Ottawa, Canada.

About Maquia Capital Acquisition

Maquia Capital Acquisition Corporation does not have significant operations. It focuses on effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or similar business combination with one or more businesses or entities. The company intends to focus its search on technology-focused middle market and emerging growth companies in North America. Maquia Capital Acquisition Corporation was incorporated in 2020 and is based in Miami, Florida.