Shopify (NASDAQ:SHOP) Receives Buy Rating from Needham & Company LLC

Shopify (NASDAQ:SHOP) (TSE:SHOP)‘s stock had its “buy” rating reiterated by stock analysts at Needham & Company LLC in a report issued on Thursday,Benzinga reports. They presently have a $180.00 price objective on the software maker’s stock. Needham & Company LLC’s target price would suggest a potential upside of 51.76% from the company’s current price.

SHOP has been the topic of a number of other reports. Moffett Nathanson upgraded Shopify from a “neutral” rating to a “buy” rating and set a $150.00 price objective on the stock in a report on Monday. Zacks Research downgraded Shopify from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, November 12th. BNP Paribas Exane initiated coverage on Shopify in a research note on Monday, November 24th. They issued a “neutral” rating on the stock. Stifel Nicolaus set a $115.00 price objective on Shopify in a research report on Wednesday. Finally, Wolfe Research raised Shopify from a “hold” rating to an “outperform” rating in a research note on Tuesday, January 6th. Twenty-eight research analysts have rated the stock with a Buy rating and fifteen have assigned a Hold rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $168.19.

Shopify Price Performance

Shares of SHOP stock opened at $118.61 on Thursday. The company has a market capitalization of $154.41 billion, a PE ratio of 87.86, a price-to-earnings-growth ratio of 3.75 and a beta of 2.83. The firm’s 50-day moving average is $152.31 and its two-hundred day moving average is $151.02. Shopify has a 12 month low of $69.84 and a 12 month high of $182.19.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in SHOP. Brighton Jones LLC raised its holdings in Shopify by 2.8% during the fourth quarter. Brighton Jones LLC now owns 21,176 shares of the software maker’s stock worth $2,252,000 after purchasing an additional 584 shares in the last quarter. AQR Capital Management LLC grew its position in shares of Shopify by 107.3% in the 1st quarter. AQR Capital Management LLC now owns 14,576 shares of the software maker’s stock valued at $1,392,000 after buying an additional 7,544 shares during the last quarter. Sivia Capital Partners LLC raised its stake in Shopify by 6.6% during the 2nd quarter. Sivia Capital Partners LLC now owns 8,190 shares of the software maker’s stock worth $945,000 after acquiring an additional 506 shares in the last quarter. CWM LLC raised its stake in Shopify by 22.8% during the 2nd quarter. CWM LLC now owns 15,840 shares of the software maker’s stock worth $1,827,000 after acquiring an additional 2,939 shares in the last quarter. Finally, Yousif Capital Management LLC lifted its position in Shopify by 8.7% in the second quarter. Yousif Capital Management LLC now owns 15,114 shares of the software maker’s stock valued at $1,743,000 after acquiring an additional 1,215 shares during the last quarter. Hedge funds and other institutional investors own 69.27% of the company’s stock.

More Shopify News

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Revenue and GMV beat: Q4 revenue rose ~31% YoY ($3.67B) and GMV also grew ~31%, outpacing consensus and showing continued AI-driven demand across regions and channels. Shopify Defies Logic: AI Disruption Is a Good Thing
• Positive Sentiment: Strong forward revenue guide: Shopify guided Q1 revenue above Street estimates (low‑30% growth target), signaling momentum into 2026 that some analysts view as durable. Shopify forecasts quarterly revenue above estimates on strong demand
• Positive Sentiment: $2B buyback and strong cash flow: Management authorized a $2B repurchase (about ~3% of market cap) and reported healthy free cash flow, underscoring balance-sheet flexibility (net cash, no debt). Shopify’s Standout 2025: The Launchpad for a New Era of Commerce in 2026
• Neutral Sentiment: Short interest fell sharply in January (~27% decline), reducing immediate squeeze risk but also signaling changing trader positioning; this can dampen volatility from short-covering.
• Negative Sentiment: EPS miss and mixed profitability signals: Reported EPS (~$0.46–$0.48) missed some consensus estimates, and management flagged margin pressures from a higher mix of Merchant Solutions plus rising investments. Shopify (SHOP) Misses Q4 Earnings Estimates
• Negative Sentiment: Buyback execution & cash-risk concerns: Analysts and commentators flagged the $2B repurchase as raising questions about timing (algorithmic triggers), volatility management and opportunity cost, which added to investor caution. Shopify’s $2 Billion Buyback Plan Raises Questions on Volatility, Execution, and Cash Risk
• Negative Sentiment: Analyst caution and profit-taking: Some shops cut targets or issued cautious notes (and at least one bearish forecast), prompting profit-taking after the recent run — amplifying the stock’s selloff despite upbeat guidance. Why I’m Not Buying the Dip in Shopify Stock

About Shopify

Shopify is a Canadian commerce technology company that provides a cloud-based platform for businesses to create, manage and scale online and physical retail stores. Its core offering is a software-as-a-service e-commerce platform that enables merchants to build customizable storefronts, manage product catalogs, process orders, and handle inventory. Shopify also supports omnichannel selling through integrated point-of-sale (POS) systems for in-person transactions.

Beyond storefront software, Shopify offers a range of merchant services and tools designed to simplify commerce operations.