(SHOP) Shopify - Overview
Sector: Technology | Industry: Software - Application | Exchange: NASDAQ (USA) | Market Cap: 142.716m USD | Total Return: 10.2% in 12m
Avg Turnover: 1.42B
EPS Trend: 34.9%
Qual. Beats: -1
Rev. Trend: 99.8%
Qual. Beats: 0
Warnings
P/E ratio 107.8
Extended 3d
Tailwinds
No distinct edge detected
Shopify Inc. provides a cloud-based commerce platform designed for small and medium-sized businesses to manage sales across multiple channels, including web, mobile, social media, and physical retail locations. The company’s ecosystem integrates inventory management, payment processing through Shopify Payments, order fulfillment, and marketing tools into a single interface.
Operating within the Software-as-a-Service (SaaS) sector, Shopify utilizes a subscription-based model supplemented by merchant solutions fees tied to GMV (Gross Merchandise Volume). This dual revenue structure allows the company to benefit from both recurring software fees and the transaction-based growth of its merchant base.
Investors can further evaluate these revenue streams and valuation metrics on ValueRay.
Headquartered in Ottawa, Canada, the firm has expanded its global footprint to include Europe, the Middle East, and the Asia Pacific. Beyond its core platform, Shopify generates revenue through app store advertising, hardware sales for point-of-sale systems, and domain name registration.
- Gross Merchandise Volume growth drives merchant solutions revenue and payment processing fees
- Expansion into enterprise segments through Shopify Plus improves high-margin subscription revenue
- Operating margin expansion follows the divestiture of capital-intensive logistics and fulfillment operations
- Increasing penetration of Shopify Payments enhances take rates and overall platform monetization
| Net Income: 1.33b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.15 > 0.02 and ΔFCF/TA 2.12 > 1.0 |
| NWC/Revenue: 57.80% < 20% (prev 57.96%; Δ -0.16% < -1%) |
| CFO/TA 0.15 > 3% & CFO 2.16b > Net Income 1.33b |
| Net Debt (-5.58b) to EBITDA (1.68b): -3.33 < 3 |
| Current Ratio: 6.20 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.30b) vs 12m ago 0.62% < -2% |
| Gross Margin: 47.97% > 18% (prev 0.50%; Δ 4.75k% > 0.5%) |
| Asset Turnover: 89.71% > 50% (prev 69.99%; Δ 19.72% > 0%) |
| Interest Coverage Ratio: error (cannot be calculated; needs correct EBITDA TTM and Interest Expense TTM) |
| A: 0.50 (Total Current Assets 8.52b - Total Current Liabilities 1.38b) / Total Assets 14.2b |
| B: 0.16 (Retained Earnings 2.29b / Total Assets 14.2b) |
| C: 0.12 (EBIT TTM 1.65b / Avg Total Assets 13.8b) |
| D: 7.56 (Book Value of Equity 12.3b / Total Liabilities 1.63b) |
| Altman-Z'' = 12.58 = AAA |
| DSRI: 1.15 (Receivables 2.55b/1.69b, Revenue 12.4b/9.38b) |
| GMI: 1.04 (GM 47.97% / 49.94%) |
| AQI: 0.90 (AQ_t 0.39 / AQ_t-1 0.43) |
| SGI: 1.32 (Revenue 12.4b / 9.38b) |
| TATA: -0.06 (NI 1.33b - CFO 2.16b) / TA 14.2b) |
| Beneish M = -2.76 (Cap -4..+1) = A |
As of May 30, 2026, the stock is trading at USD 118.71 with a total of 11,269,214 shares traded.
Over the past week, the price has changed by +13.21%,
over one month by -2.10%,
over three months by -1.67% and
over the past year by +10.22%.
Shopify has received a consensus analysts rating of 4.16. Therefore, it is recommended to buy SHOP.
- StrongBuy: 24
- Buy: 11
- Hold: 14
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 150.1 | 26.5% |
P/E Trailing = 107.8235
P/E Forward = 56.8182
P/S = 11.5426
P/B = 11.0655
P/EG = 2.1027
Revenue TTM = 12.4b USD
EBIT TTM = 1.65b USD
EBITDA TTM = 1.68b USD
Long Term Debt = 163.5m USD (estimated: total debt 179.6m - short term 16.1m)
Short Term Debt = 16.1m USD (from shortTermDebt, last quarter)
Debt = 179.6m USD (from shortLongTermDebtTotal, last quarter) (leases 179.0m already included)
Net Debt = -5.58b USD (calculated: Debt 179.6m - CCE 5.76b)
Enterprise Value = 137b USD (143b + Debt 179.6m - CCE 5.76b)
Interest Coverage Ratio = unknown (Ebit TTM 1.65b / Interest Expense TTM 0.0)
EV/FCF = 64.44x (Enterprise Value 137b / FCF TTM 2.13b)
FCF Yield = 1.55% (FCF TTM 2.13b / Enterprise Value 137b)
FCF Margin = 17.21% (FCF TTM 2.13b / Revenue TTM 12.4b)
Net Margin = 10.77% (Net Income TTM 1.33b / Revenue TTM 12.4b)
Gross Margin = 47.97% ((Revenue TTM 12.4b - Cost of Revenue TTM 6.43b) / Revenue TTM)
Gross Margin QoQ = 48.77% (prev 46.11%)
Tobins Q-Ratio = 9.68 (Enterprise Value 137b / Total Assets 14.2b)
Interest Expense / Debt = 0.0% (Interest Expense 0.0 / Debt 179.6m)
Taxrate = 18.42% (278.0m / 1.51b)
NOPAT = 1.34b (EBIT 1.65b * (1 - 18.42%))
Current Ratio = 6.20 (Total Current Assets 8.52b / Total Current Liabilities 1.38b)
Debt / Equity = 0.01 (Debt 179.6m / totalStockholderEquity, last quarter 12.5b)
Debt / EBITDA = -3.33 (Net Debt -5.58b / EBITDA 1.68b)
Debt / FCF = -2.62 (Net Debt -5.58b / FCF TTM 2.13b)
Total Stockholder Equity = 12.7b (last 4 quarters mean from totalStockholderEquity)
RoA = 9.66% (Net Income 1.33b / Total Assets 14.2b)
RoE = 10.52% (Net Income TTM 1.33b / Total Stockholder Equity 12.7b)
RoCE = 12.84% (EBIT 1.65b / Capital Employed (Equity 12.7b + L.T.Debt 163.5m))
RoIC = 10.60% (NOPAT 1.34b / Invested Capital 12.7b)
WACC = 12.61% (E(143b)/V(143b) * Re(12.63%) + D(179.6m)/V(143b) * Rd(0.0%) * (1-Tc(0.18)))
Discount Rate = 12.63% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 46.67 | Cagr: 0.21%
[DCF] Terminal Value 65.46% ; FCFF base≈1.97b ; Y1≈2.26b ; Y5≈3.32b
[DCF] Fair Price = 27.85 (EV 28.4b - Net Debt -5.58b = Equity 34.0b / Shares 1.22b; r=12.61% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 34.86 | EPS CAGR: 23.16% | SUE: -2.17 | # QB: -1
Revenue Correlation: 99.79 | Revenue CAGR: 27.63% | SUE: 0.08 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.40 | Chg30d=+1.56% | Revisions=-14% | Analysts=33
EPS next Quarter (2026-09-30): EPS=0.44 | Chg30d=-1.33% | Revisions=-36% | Analysts=29
EPS current Year (2026-12-31): EPS=1.84 | Chg30d=+0.84% | Revisions=+3% | GrowthEPS=+28.4% | GrowthRev=+28.1%
EPS next Year (2027-12-31): EPS=2.33 | Chg30d=+1.58% | Revisions=-3% | GrowthEPS=+27.0% | GrowthRev=+23.8%
[Analyst] Revisions Ratio: -36%