SHOP Stock Analysis: Shopify | NASDAQ
Software - Application | NASDAQ, USA | Market Cap: 160.001m USD | 12M Return: 13.6% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 1.01B
EPS Trend: 81.4%
Qual. Beats: 0
Rev. Trend: 99.8%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 11.2 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Shopify Inc. (SHOP) is an Ottawa-based commerce technology company that provides a multi-channel platform enabling merchants to start, scale, market, and run businesses across Canada, the United States, Europe, the Middle East, Africa, the Asia Pacific, and Latin America. Its platform covers product and inventory management, order and payment processing, fulfillment and shipping, customer relationship tools, analytics, financing, and selling across web, mobile, physical retail, social media, and marketplace storefronts. The company also derives revenue from Shopify Payments, themes and apps, Shopify Shipping labels, point-of-sale hardware, App Store advertising, Shop Campaigns, and domain registration. The company was incorporated in 2004 and was previously named Jaded Pixel Technologies Inc. before adopting its current name in November 2011.
Shopify primarily operates under a subscription-based software-as-a-service (SaaS) model, charging merchants recurring fees for platform access and supplementing this with payment processing, shipping, and other transaction-linked services. It sits within the GICS Information Technology sector under Internet Services & Infrastructure and competes in the broader e-commerce enablement market alongside providers such as BigCommerce, WooCommerce, and Square, as well as marketplace operators like Amazon and eBay.
- Merchant Solutions segment revenue outpaces subscriptions on payment take rate expansion
- International merchant growth accelerates across Europe and Asia Pacific
- AI-powered merchant tools and Shop Pay network boost conversion rates
| 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 (586.0m): -9.53 < 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 49.94%; Δ -1.97% > 0.5%) |
| Asset Turnover: 89.71% > 50% (prev 69.99%; Δ 19.72% > 0%) |
| Interest Coverage Ratio: error (cannot be calculated; needs correct EBIT 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: 0.04 (EBIT TTM 556.0m / Avg Total Assets 13.8b) |
| D: 7.72 (Book Value of Equity 12.5b / Total Liabilities 1.63b) |
| Altman-Z'' = 12.21 = AAA |
| DSRI: 1.15 (Receivables 2.55b/1.69b, Revenue 12.4b/9.38b) |
| GMI: 1.04 (GM 49.94% / 47.97%) |
| 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 = -2.71 (Cap -4..+1) = A |
As of August 06, 2026, the stock is trading at USD 144.24 with a total of 40,474,936 shares traded. Over the past week, the price has changed by +11.67%, over one month by +20.06%, over three months by +34.01% and over the past year by +13.57%.
Current recommended Stop Loss: 136.60 (which is 5.3% or 1.2 ATR below the current price).
Shopify has received a consensus analysts rating of 4.25. Therefore, it is recommended to buy SHOP.
- StrongBuy: 28
- Buy: 10
- Hold: 12
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 148.4 | 2.9% |
P/E Trailing = 115.2336
P/E Forward = 61.7284
P/S = 12.9388
P/B = 12.1606
P/EG = 2.5698
Revenue TTM = 12.4b USD
EBIT TTM = 556.0m USD
EBITDA TTM = 586.0m 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 = 154b USD (160b + Debt 179.6m - CCE 5.76b)
Interest Coverage Ratio = unknown (Ebit TTM 556.0m / Interest Expense TTM 0.0)
EV/FCF = 72.57x (Enterprise Value 154b / FCF TTM 2.13b)
FCF Yield = 1.38% (FCF TTM 2.13b / Enterprise Value 154b)
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 = 10.90 (Enterprise Value 154b / Total Assets 14.2b)
Interest Expense / Debt = 0.0% (Interest Expense 0.0 / Debt 179.6m)
Taxrate = 19.03% (313.0m / 1.65b)
NOPAT = 450.2m (EBIT 556.0m * (1 - 19.03%))
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 = -9.53 (Net Debt -5.58b / EBITDA 586.0m)
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 = 4.33% (EBIT 556.0m / Capital Employed (Equity 12.7b + L.T.Debt 163.5m))
RoIC = 3.69% (NOPAT 450.2m / Invested Capital 12.2b)
WACC = 13.00% (E(160b)/V(160b) * Re(13.01%) + D(179.6m)/V(160b) * Rd(0.0%) * (1-Tc(0.19)))
Discount Rate = 13.01% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 65.43 | Cagr: 0.21%
[DCF] Terminal Value 64.46% ; FCFF base≈1.97b ; Y1≈2.26b ; Y5≈3.32b
[DCF] Fair Price = 26.97 (EV 27.3b - Net Debt -5.58b = Equity 32.9b / Shares 1.22b; r=13.00% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 81.38 | EPS CAGR: 78.27% | SUE: 0.19 | # QB: 0
Revenue Correlation: 99.79 | Revenue CAGR: 27.63% | SUE: 0.08 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.40 | Chg30d=+0.55% | Revisions=+0% | Analysts=34
EPS next Quarter (2026-09-30): EPS=0.44 | Chg30d=+1.44% | Revisions=-35% | Analysts=32
EPS current Year (2026-12-31): EPS=1.85 | Chg30d=+0.42% | Revisions=+0% | GrowthEPS=+29.0% | GrowthRev=+28.1%
EPS next Year (2027-12-31): EPS=2.33 | Chg30d=-0.03% | Revisions=+12% | GrowthEPS=+26.4% | GrowthRev=+23.8%
[Analyst] Revisions Ratio: -21% (up=14, down=22)