Cantor Fitzgerald Forecasts Strong Price Appreciation for Shopify (NASDAQ:SHOP) Stock

Key Points

• Cantor Fitzgerald raised Shopify’s price target to $158 from $145 but maintained a “neutral” rating, implying 7.52% downside from the stock’s $170.85 opening price.
• Analyst sentiment remains broadly positive, with Shopify holding a “Moderate Buy” consensus rating and an average price target of $172.74; individual targets include $180 from Mizuho and $165 from BMO Capital Markets.
• Shopify reported quarterly revenue of $3.58 billion, up 33.7% year over year, and adjusted earnings of $0.42 per share, exceeding estimates of $0.40. Institutional investors own 69.27% of the company’s stock.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP had its target price raised by Cantor Fitzgerald from $145.00 to $158.00 in a research report issued on Monday, Benzinga reports. The brokerage currently has a "neutral" rating on the software maker's stock. Cantor Fitzgerald's target price would suggest a potential downside of 7.52% from the stock's current price.

Several other analysts also recently weighed in on SHOP. BTIG Research started coverage on Shopify in a research report on Friday, July 10th. They set a "buy" rating for the company. Citigroup restated an "outperform" rating on shares of Shopify in a report on Thursday, August 6th. Mizuho set a $180.00 price target on shares of Shopify in a research note on Thursday, September 24th. Morgan Stanley lowered shares of Shopify from an "overweight" rating to a "buy" rating in a report on Monday, July 13th. Finally, BMO Capital Markets set a $165.00 price objective on shares of Shopify and gave the company an "outperform" rating in a research report on Thursday, August 6th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating and ten have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $172.74.

Shopify Stock Performance

SHOP opened at $170.85 on Monday. The company has a debt-to-equity ratio of 0.01, a quick ratio of 5.35 and a current ratio of 5.35. The stock's 50 day moving average price is $145.37 and its 200-day moving average price is $126.23. Shopify has a one year low of $94.00 and a one year high of $182.19. The stock has a market cap of $219.82 billion, a price-to-earnings ratio of 115.44, a P/E/G ratio of 3.53 and a beta of 2.62.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP last issued its quarterly earnings results on Wednesday, August 5th. The software maker reported $0.42 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.40 by $0.02. Shopify had a return on equity of 12.58% and a net margin of 14.53%. The firm had revenue of $3.58 billion during the quarter. During the same period in the prior year, the business posted $0.69 earnings per share. Shopify's revenue was up 33.7% on a year-over-year basis. On average, equities analysts forecast that Shopify will post 1.46 EPS for the current year.

Hedge Funds Weigh In On Shopify

Hedge funds and other institutional investors have recently made changes to their positions in the company. Invesco Ltd. lifted its holdings in shares of Shopify by 9.8% in the 4th quarter. Invesco Ltd. now owns 14,026,193 shares of the software maker's stock valued at $2,257,796,000 after buying an additional 1,252,074 shares during the period. Sands Capital Management LLC grew its holdings in Shopify by 37.0% during the fourth quarter. Sands Capital Management LLC now owns 9,506,036 shares of the software maker's stock worth $1,530,187,000 after acquiring an additional 2,568,765 shares during the period. The Manufacturers Life Insurance Company raised its position in Shopify by 8.5% during the first quarter. The Manufacturers Life Insurance Company now owns 8,418,903 shares of the software maker's stock valued at $998,137,000 after acquiring an additional 660,198 shares in the last quarter. Swiss National Bank raised its position in Shopify by 27.0% during the first quarter. Swiss National Bank now owns 4,115,300 shares of the software maker's stock valued at $487,580,000 after acquiring an additional 876,100 shares in the last quarter. Finally, Sumitomo Mitsui Trust Group Inc. lifted its holdings in Shopify by 4.1% in the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 3,678,602 shares of the software maker's stock valued at $436,356,000 after acquiring an additional 145,500 shares during the period. Institutional investors own 69.27% of the company's stock.

About Shopify

Shopify Inc is a commerce technology company that provides tools for businesses to start, operate and grow online and in physical retail environments. Its platform enables merchants to create and manage online stores, sell through multiple channels, process orders and payments, manage inventory and engage with customers.

Shopify's products and services include its core commerce platform, Shopify Plus for larger businesses, Shopify Payments, Shop Pay, point-of-sale solutions and tools for marketing, shipping, analytics and customer management.

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