Shopify (SHOP) is a software-application business that offers cloud-based commerce solutions for small to medium-sized companies. Shopify's software is used by merchants to run their business across various sales channels, including desktop and mobile storefronts, physical retail locations, social media storefronts and other marketplaces. The company is listed on the NYSE and headquartered in Ottawa, Canada.
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Shopify's shares were split on a 10:1 basis on 28 June 2022. So if you had owned 1 share the day before the split, the next day you would own 10 shares. This wouldn't directly have changed the overall worth of your Shopify shares – just the quantity. However, indirectly, the new 90% lower share price could have impacted the market appetite for Shopify shares which in turn could have impacted Shopify's share price.
| 52-week range | US$45.5 - US$91.57 |
|---|---|
| 50-day moving average | US$76.0702 |
| 200-day moving average | US$68.2105 |
| Target price | US$82.7 |
| PE ratio | 733.499 |
| Dividend yield | N/A (0%) |
| Earnings per share (TTM) | US$0.1 |
Use the fields above to explore the returns from a historical investment. Please refer to the charts further up this page to see performance over 5 years, or other periods. Past performance doesn't indicate future results. Capital is at risk.
Historical closes compared with the last close of $70.55
| 1 week (2024-04-19) | 1.26% |
|---|---|
| 1 month (2024-03-26) | -10.16% |
| 3 months (2024-01-26) | -13.49% |
| 6 months (2023-10-26) | 51.10% |
| 1 year (2023-04-25) | 51.85% |
|---|---|
| 2 years (2022-04-25) | 53.63% |
| 3 years (2021-04-26) | -39.49% |
| 5 years (2019-04-26) | 217.39% |
The technical analysis gauge below displays real-time ratings for the timeframes you select. However, this is not a recommendation. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
Valuing Shopify stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Shopify's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
Shopify's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 733x. In other words, Shopify shares trade at around 733x recent earnings.
That's relatively high compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The high P/E ratio could mean that investors are optimistic about the outlook for the shares or simply that they're over-valued.
Shopify's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 1.1192. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Shopify's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
Shopify's EBITDA (earnings before interest, taxes, depreciation and amortisation) is US$330 million (£0.0 million).
The EBITDA is a measure of a Shopify's overall financial performance and is widely used to measure stock profitability.
Over the last 12 months, Shopify's shares have ranged in value from as little as US$45.5 up to US$91.57. A popular way to gauge a stock's volatility is its "beta".
Beta measures a share's volatility in relation to the market. The market (NYSE average) beta is 1, while Shopify's is 2.196. This would suggest that Shopify's shares are significantly more volatile than the average for this exchange and represent a higher risk.
| Revenue TTM | US$7.1 billion |
|---|---|
| Operating margin TTM | 22.48% |
| Gross profit TTM | US$2.8 billion |
| Return on assets TTM | 1.47% |
| Return on equity TTM | 1.53% |
| Profit margin | 1.87% |
| Book value | 7.047 |
| Market capitalisation | US$94.4 billion |
TTM: trailing 12 months
We're not expecting Shopify to pay a dividend over the next 12 months.
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. It also sells custom themes and apps, and registration of domain names; and merchant solutions, which include accepting payments, shipping, and securing working capital. The company was formerly known as Jaded Pixel Technologies Inc. and changed its name to Shopify Inc. in November 2011. Shopify Inc. was incorporated in 2004 and is headquartered in Ottawa, Canada.
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