The Goldman Sachs Group Forecasts Strong Price Appreciation for Shopify (NYSE:SHOP) Stock

Shopify (NYSE:SHOP) (TSE:SHOP) had its target price hoisted by The Goldman Sachs Group from $88.00 to $135.00 in a report issued on Wednesday,Benzinga reports. The brokerage currently has a “buy” rating on the software maker’s stock. The Goldman Sachs Group’s price target indicates a potential upside of 23.76% from the stock’s current price.

Several other brokerages also recently commented on SHOP. DZ Bank downgraded shares of Shopify from a “hold” rating to a “sell” rating in a research note on Friday, August 9th. Barclays upped their price target on shares of Shopify from $70.00 to $93.00 and gave the stock an “equal weight” rating in a report on Wednesday. Mizuho raised their price objective on Shopify from $68.00 to $105.00 and gave the company a “neutral” rating in a report on Wednesday. Royal Bank of Canada upped their target price on Shopify from $100.00 to $130.00 and gave the stock an “outperform” rating in a report on Wednesday. Finally, Piper Sandler increased their target price on Shopify from $67.00 to $94.00 and gave the company a “neutral” rating in a research report on Wednesday. One research analyst has rated the stock with a sell rating, seventeen have given a hold rating, twenty-three have given a buy rating and one has given a strong buy rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $94.95.

Shopify Price Performance

Shopify stock opened at $109.08 on Wednesday. The company has a debt-to-equity ratio of 0.10, a quick ratio of 7.32 and a current ratio of 7.10. Shopify has a 52 week low of $48.56 and a 52 week high of $115.62. The stock has a market capitalization of $140.76 billion, a P/E ratio of 101.94, a price-to-earnings-growth ratio of 3.71 and a beta of 2.36. The stock has a fifty day moving average of $80.36 and a 200-day moving average of $70.50.

Shopify (NYSE:SHOP) (TSE:SHOP) last issued its earnings results on Tuesday, November 12th. The software maker reported $0.27 EPS for the quarter, topping the consensus estimate of $0.18 by $0.09. The firm had revenue of $2.16 billion during the quarter, compared to the consensus estimate of $2.11 billion. Shopify had a return on equity of 11.60% and a net margin of 16.84%. On average, sell-side analysts expect that Shopify will post 0.76 earnings per share for the current fiscal year.

Institutional Trading of Shopify

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. GQG Partners LLC grew its stake in Shopify by 197.9% in the first quarter. GQG Partners LLC now owns 20,901,980 shares of the software maker’s stock valued at $1,613,006,000 after acquiring an additional 13,885,473 shares during the period. Capital World Investors lifted its holdings in shares of Shopify by 26.2% in the 1st quarter. Capital World Investors now owns 49,764,809 shares of the software maker’s stock worth $3,840,332,000 after purchasing an additional 10,340,040 shares in the last quarter. Baillie Gifford & Co. grew its position in Shopify by 14.7% in the 3rd quarter. Baillie Gifford & Co. now owns 63,366,308 shares of the software maker’s stock valued at $5,078,176,000 after purchasing an additional 8,131,160 shares during the period. Price T Rowe Associates Inc. MD increased its stake in Shopify by 21.2% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 34,239,525 shares of the software maker’s stock valued at $2,642,265,000 after purchasing an additional 5,982,434 shares in the last quarter. Finally, FMR LLC raised its holdings in Shopify by 16.1% during the third quarter. FMR LLC now owns 42,306,077 shares of the software maker’s stock worth $3,389,637,000 after buying an additional 5,869,795 shares during the last quarter. 69.27% of the stock is owned by institutional investors.

About Shopify

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.