Shopify (NASDAQ:SHOP) Given Outperform Rating at Royal Bank Of Canada

Shopify (NASDAQ:SHOP) (TSE:SHOP)‘s stock had its “outperform” rating restated by investment analysts at Royal Bank Of Canada in a report issued on Wednesday, Benzinga reports. They presently have a $200.00 price objective on the software maker’s stock. Royal Bank Of Canada‘s price objective suggests a potential upside of 31.61% from the stock’s current price.

Other analysts have also issued reports about the company. Weiss Ratings lowered Shopify from a “hold (c+)” rating to a “hold (c)” rating in a report on Friday. Wedbush restated an “outperform” rating and issued a $176.00 target price on shares of Shopify in a report on Wednesday. Citizens Jmp lifted their target price on Shopify from $150.00 to $185.00 and gave the company a “market outperform” rating in a research report on Thursday, August 6th. Benchmark upped their price target on Shopify from $145.00 to $170.00 and gave the stock a “buy” rating in a report on Thursday, August 6th. Finally, Citigroup lifted their target price on shares of Shopify from $196.00 to $216.00 and gave the stock a “buy” rating in a research report on Tuesday, October 27th. One investment analyst has rated the stock with a Strong Buy rating, thirty-eight have given a Buy rating and ten have given a Hold rating to the company’s stock. According to MarketBeat, Shopify presently has an average rating of “Moderate Buy” and an average price target of $178.62.

Shopify Stock Up 6.6%

Shares of NASDAQ SHOP traded up $9.39 during mid-day trading on Wednesday, reaching $151.96. 5,892,617 shares of the company’s stock traded hands, compared to its average volume of 10,261,093. The stock has a market cap of $195.52 billion, a P/E ratio of 102.68, a PEG ratio of 3.23 and a beta of 2.65. The business has a 50-day simple moving average of $152.77 and a 200 day simple moving average of $130.13. Shopify has a 1-year low of $94.00 and a 1-year high of $180.88. The company has a debt-to-equity ratio of 0.01, a current ratio of 5.35 and a quick ratio of 5.35.

Shopify (NASDAQ:SHOP) (TSE:SHOP) last posted its earnings results on Tuesday, November 3rd. The software maker reported $0.49 earnings per share for the quarter, topping analysts’ consensus estimates of $0.33 by $0.16. Shopify had a net margin of 14.53% and a return on equity of 12.58%. The company had revenue of $3.74 billion for the quarter. During the same quarter in the prior year, the company earned $0.34 EPS. The company’s revenue was up 31.6% on a year-over-year basis. On average, analysts expect that Shopify will post 1.46 EPS for the current fiscal year.

Hedge Funds Weigh In On Shopify

Several institutional investors and hedge funds have recently bought and sold shares of the company. Almanack Investment Partners LLC. bought a new position in shares of Shopify during the 3rd quarter worth $215,000. M Holdings Securities Inc. bought a new stake in Shopify in the 3rd quarter valued at about $217,000. Avantax Planning Partners Inc. raised its stake in Shopify by 9.0% in the 3rd quarter. Avantax Planning Partners Inc. now owns 2,427 shares of the software maker’s stock valued at $360,000 after acquiring an additional 201 shares during the period. Richard Young Associates Ltd. purchased a new stake in Shopify during the third quarter valued at about $237,000. Finally, Ethic Inc. lifted its holdings in Shopify by 35.2% during the third quarter. Ethic Inc. now owns 25,702 shares of the software maker’s stock valued at $3,812,000 after purchasing an additional 6,698 shares during the last quarter. 69.27% of the stock is owned by institutional investors.

More Shopify News

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Shopify reported Q3 revenue of about $3.7 billion, up 32% year over year, and earnings of $0.49 per share, above consensus. Operating income reportedly rose 66%, while free cash flow increased 61% to $816 million. Shopify Stock Fell After Its Report. Here’s the Price I’d Pay for It.
• Positive Sentiment: Wedbush reaffirmed its outperform rating with a $176 price target. Rosenblatt lowered its target from $186 to $180 but kept a buy rating, both indicating further potential upside from the prices cited in the reports.
• Positive Sentiment: Management highlighted momentum in AI-enabled commerce: AI-driven traffic was up 2.6 times, and Shop Pay gross merchandise volume rose 50%. Shopify Q3 2026 Earnings Call Highlights
• Neutral Sentiment: Analyst views remain divided: Cantor Fitzgerald cut its target from $158 to $150 and maintained a neutral rating, while other analysts’ targets remain higher. Cantor Fitzgerald recommendations
• Negative Sentiment: The main pressure is that Q3 gross merchandise volume was $119.1 billion, slightly below the roughly $120 billion expected, alongside a subscription-revenue shortfall. With Shopify’s valuation elevated, investors appear to be treating even modest misses as significant. Shopify falls after Q3 revenue and merchandise volume miss estimates
• Negative Sentiment: Reports also cite AI-computing expenses and pre-holiday infrastructure investment as potential cost and margin concerns, tempering the positive growth and cash-flow figures.

Shopify Company Profile

Shopify Inc is a commerce technology company that provides tools for businesses of various sizes to start, operate and grow online and in physical retail environments. Its platform supports online storefronts, product and inventory management, order processing, marketing, analytics and customer engagement.

The company offers subscription-based plans and merchant solutions, including Shopify Payments, Shopify POS, Shopify Capital and tools for shipping, checkout and fulfillment. Shopify also supports sales through multiple channels, such as merchants’ own websites, mobile devices, social media and third-party marketplaces.

Shopify was founded in 2006 by Tobias Lütke, Daniel Weinand and Scott Lake after the founders developed an online store for snowboarding equipment.