Zacks Research Downgrades Shopify (NASDAQ:SHOP) to Hold

Shopify (NASDAQ:SHOP) (TSE:SHOP) was downgraded by equities research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued on Wednesday,Zacks.com reports.

Several other equities research analysts have also commented on the stock. DZ Bank upgraded shares of Shopify from a “strong sell” rating to a “hold” rating in a research note on Thursday, November 6th. Stifel Nicolaus set a $175.00 target price on shares of Shopify in a research note on Tuesday, November 4th. Royal Bank Of Canada raised their target price on Shopify from $170.00 to $200.00 and gave the stock an “outperform” rating in a research note on Friday, October 17th. Cantor Fitzgerald reaffirmed a “neutral” rating and issued a $181.00 price target (up previously from $156.00) on shares of Shopify in a report on Wednesday, November 5th. Finally, Needham & Company LLC reissued a “buy” rating and issued a $180.00 price target on shares of Shopify in a research note on Wednesday, November 5th. Twenty-two research analysts have rated the stock with a Buy rating and twenty-four have issued a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $163.89.

Shopify Stock Performance

Shares of SHOP stock traded down $3.87 on Wednesday, hitting $142.47. The company had a trading volume of 1,097,768 shares, compared to its average volume of 9,646,630. Shopify has a twelve month low of $69.84 and a twelve month high of $182.19. The firm has a market cap of $185.16 billion, a P/E ratio of 105.53, a P/E/G ratio of 5.78 and a beta of 2.73. The stock’s 50-day moving average is $156.70 and its two-hundred day moving average is $131.72.

Shopify (NASDAQ:SHOP) (TSE:SHOP) last posted its quarterly earnings results on Tuesday, November 4th. The software maker reported $0.27 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.24 by $0.03. The firm had revenue of $2.84 billion for the quarter, compared to analysts’ expectations of $2.75 billion. Shopify had a return on equity of 11.72% and a net margin of 16.65%. Shopify has set its Q4 2025 guidance at EPS. Equities research analysts predict that Shopify will post 1.12 EPS for the current year.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Heartwood Wealth Advisors LLC purchased a new position in shares of Shopify during the third quarter valued at $27,000. Family Legacy Financial Solutions LLC purchased a new position in Shopify in the second quarter worth $25,000. Rothschild Investment LLC raised its stake in Shopify by 47.5% in the second quarter. Rothschild Investment LLC now owns 233 shares of the software maker’s stock valued at $27,000 after buying an additional 75 shares during the last quarter. Financial Gravity Companies Inc. purchased a new stake in Shopify during the 2nd quarter worth approximately $27,000. Finally, Tradewinds Capital Management LLC increased its position in shares of 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 acquiring an additional 100 shares during the period. Institutional investors own 69.27% of the company’s stock.

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.