Shopify’s (SHOP) Buy Rating Reaffirmed at Needham & Company LLC

Shopify (NASDAQ:SHOP) (TSE:SHOP)‘s stock had its “buy” rating reissued by Needham & Company LLC in a report issued on Tuesday,Benzinga reports. They presently have a $180.00 price target on the software maker’s stock. Needham & Company LLC’s price target would indicate a potential upside of 67.72% from the company’s previous close.

Several other equities analysts have also commented on SHOP. UBS Group cut their price target on Shopify from $165.00 to $145.00 and set a “neutral” rating on the stock in a research note on Thursday, February 12th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and set a $175.00 target price on shares of Shopify in a research report on Thursday, February 12th. Cantor Fitzgerald reaffirmed a “neutral” rating and issued a $126.00 price target (down from $181.00) on shares of Shopify in a research report on Thursday, February 12th. Benchmark cut their price objective on shares of Shopify from $195.00 to $145.00 and set a “buy” rating on the stock in a report on Tuesday, February 10th. Finally, Arete Research set a $175.00 price objective on shares of Shopify in a research note on Monday, February 2nd. Two analysts have rated the stock with a Strong Buy rating, thirty-two have given a Buy rating and ten have issued a Hold rating to the stock. According to MarketBeat, Shopify currently has an average rating of “Moderate Buy” and a consensus price target of $163.78.

Shopify Trading Down 15.9%

Shares of SHOP traded down $20.23 during trading hours on Tuesday, reaching $107.32. 33,598,038 shares of the company traded hands, compared to its average volume of 10,815,871. The stock’s fifty day moving average price is $122.49 and its 200 day moving average price is $141.99. The firm has a market cap of $139.96 billion, a price-to-earnings ratio of 115.40, a PEG ratio of 4.54 and a beta of 2.64. Shopify has a 12-month low of $88.14 and a 12-month high of $182.19.

Shopify (NASDAQ:SHOP) (TSE:SHOP) last issued its earnings results on Tuesday, May 5th. The software maker reported $999.00 EPS for the quarter, topping analysts’ consensus estimates of $0.22 by $998.78. Shopify had a net margin of 10.65% and a return on equity of 11.52%. On average, research analysts forecast that Shopify will post 1.36 earnings per share for the current year.

Institutional Investors Weigh In On Shopify

Institutional investors have recently bought and sold shares of the company. Kingdom Financial Group LLC. acquired a new position in shares of Shopify during the fourth quarter worth $26,000. Curio Wealth LLC purchased a new position in Shopify during the 4th quarter worth $27,000. Evolution Wealth Management Inc. increased its position in Shopify by 203.9% during the 1st quarter. Evolution Wealth Management Inc. now owns 231 shares of the software maker’s stock valued at $27,000 after buying an additional 155 shares in the last quarter. Mowery & Schoenfeld Wealth Management LLC acquired a new position in Shopify during the 4th quarter valued at about $29,000. Finally, Lodestone Wealth Management LLC purchased a new stake in Shopify in the fourth quarter valued at about $31,000. 69.27% of the stock is currently owned by institutional investors and hedge funds.

Shopify News Summary

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Q1 beat on top- and bottom-line metrics — Shopify reported stronger-than-expected revenue growth (about 34%) and an EPS beat; management also highlighted merchants clearing $100B GMV in Q1, supporting long-term platform strength. GlobeNewswire — Q1 results
• Positive Sentiment: AI adoption showing traction — Shopify said AI-driven traffic/orders surged (orders up ~13x in some channels; AI traffic +8x YoY), and the platform powers commerce integrations across ChatGPT, Copilot and Google, which could drive merchant revenue over time. PYMNTS — AI drove orders
• Neutral Sentiment: Q2 revenue guidance roughly in-line with consensus (range provided) — company issued Q2 revenue guidance that matched market expectations, which tempers surprise risk but removes upside catalysts. Yahoo Finance — Q2 outlook
• Neutral Sentiment: Analysts see upside but valuation is a headwind — several pieces note meaningful upside from current levels but warn that Shopify’s premium multiple and near-term growth slowdown make returns dependent on reacceleration. MarketBeat — valuation piece
• Negative Sentiment: Guidance and profitability concerns drove selling — despite the beat, Shopify’s outlook implied slower revenue growth and rising costs; operating profit missed expectations and the company reported a sizeable quarterly loss in some measures, which spooked investors. Globe and Mail — softened outlook
• Negative Sentiment: Market reaction and commentary emphasize uncertainty — live coverage and analysts noted that strong AI messaging wasn’t enough to offset a lukewarm forecast; headlines cite stock falling on cautious guidance and margin worries. Motley Fool — live market coverage

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.