Shopify (NYSE:SHOP) Shares Gap Down – Time to Sell?

Shopify Inc. (NYSE:SHOP) (TSE:SHOP)’s stock price gapped down before the market opened on Thursday . The stock had previously closed at $100.65, but opened at $87.33. Shopify shares last traded at $85.61, with a volume of 6,076,652 shares traded.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on SHOP. Phillip Securities cut shares of Shopify from a “strong-buy” rating to a “moderate buy” rating in a research report on Monday, February 17th. Morgan Stanley increased their target price on shares of Shopify from $126.00 to $144.00 and gave the stock an “overweight” rating in a report on Wednesday, February 12th. Robert W. Baird boosted their price target on shares of Shopify from $126.00 to $135.00 and gave the stock an “outperform” rating in a research note on Wednesday, February 12th. Barclays increased their price objective on Shopify from $93.00 to $100.00 and gave the company an “equal weight” rating in a research note on Wednesday, February 12th. Finally, Truist Financial boosted their target price on Shopify from $110.00 to $120.00 and gave the stock a “hold” rating in a research note on Wednesday, February 12th. One research analyst has rated the stock with a sell rating, fifteen have given a hold rating, twenty-four have given a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $126.31.

Shopify Trading Down 16.3 %

The company has a market capitalization of $109.13 billion, a PE ratio of 54.37, a P/E/G ratio of 4.82 and a beta of 2.81. The firm has a 50 day simple moving average of $109.77 and a two-hundred day simple moving average of $101.33.

Shopify (NYSE:SHOP) (TSE:SHOP) last announced its quarterly earnings data on Tuesday, February 11th. The software maker reported $0.34 EPS for the quarter, missing analysts’ consensus estimates of $0.44 by ($0.10). Shopify had a net margin of 22.74% and a return on equity of 12.00%. Research analysts expect that Shopify Inc. will post 1.12 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the business. Allianz SE purchased a new position in shares of Shopify in the 4th quarter valued at about $27,000. PFG Private Wealth Management LLC increased its holdings in Shopify by 3,657.1% in the fourth quarter. PFG Private Wealth Management LLC now owns 263 shares of the software maker’s stock valued at $28,000 after buying an additional 256 shares in the last quarter. Fourth Dimension Wealth LLC acquired a new stake in shares of Shopify during the 4th quarter valued at approximately $30,000. Mark Sheptoff Financial Planning LLC boosted its stake in shares of Shopify by 50.0% during the 4th quarter. Mark Sheptoff Financial Planning LLC now owns 300 shares of the software maker’s stock worth $32,000 after acquiring an additional 100 shares in the last quarter. Finally, New Wave Wealth Advisors LLC acquired a new stake in shares of Shopify in the 4th quarter worth approximately $39,000. Hedge funds and other institutional investors own 69.27% of the company’s stock.

Shopify Company Profile

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.