Rosenblatt Securities Issues Pessimistic Forecast for Shopify (NASDAQ:SHOP) Stock Price

Key Points

• Rosenblatt Securities cut Shopify’s price target from $186 to $180 but maintained its Buy rating, implying 26.25% upside from the prior close.
• Shopify reported quarterly EPS of $0.49, beating the $0.33 consensus, while revenue reached $3.74 billion, up 31.6% year over year.
• Analyst sentiment remains broadly positive: MarketBeat’s consensus is Moderate Buy, with a $178.49 average price target. However, the article notes that a slight GMV shortfall and other missed expectations contributed to a post-earnings sell-off.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP had its price objective reduced by equities researchers at Rosenblatt Securities from $186.00 to $180.00 in a research note issued on Wednesday, Benzinga reports. The brokerage presently has a "buy" rating on the software maker's stock. Rosenblatt Securities's price objective would suggest a potential upside of 26.25% from the stock's previous close.

SHOP has been the topic of a number of other research reports. Susquehanna began coverage on Shopify in a report on Friday, July 10th. They issued a "neutral" rating on the stock. BTIG Research started coverage on Shopify in a research note on Friday, July 10th. They set a "buy" rating for the company. Truist Financial set a $180.00 price target on shares of Shopify and gave the company a "buy" rating in a research report on Wednesday, August 5th. KeyCorp increased their price objective on shares of Shopify from $180.00 to $185.00 and gave the stock an "overweight" rating in a research note on Monday. Finally, Rothschild & Co Redburn set a $130.00 target price on shares of Shopify and gave the company a "neutral" rating in a research report on Tuesday, July 21st. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-seven have given a Buy rating and ten have issued a Hold rating to the company's stock. According to MarketBeat, Shopify has a consensus rating of "Moderate Buy" and a consensus price target of $178.49.

Shopify Price Performance

Shares of SHOP opened at $142.57 on Wednesday. The firm has a market cap of $183.44 billion, a PE ratio of 96.33, a P/E/G ratio of 3.23 and a beta of 2.65. The company has a current ratio of 5.35, a quick ratio of 5.35 and a debt-to-equity ratio of 0.01. The firm has a fifty day simple moving average of $152.77 and a two-hundred day simple moving average of $130.13. Shopify has a 1-year low of $94.00 and a 1-year high of $180.88.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP last released its quarterly earnings results on Tuesday, November 3rd. The software maker reported $0.49 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.33 by $0.16. Shopify had a return on equity of 12.58% and a net margin of 14.53%. The firm had revenue of $3.74 billion for the quarter. During the same quarter last year, the business earned $0.34 earnings per share. The business's quarterly revenue was up 31.6% on a year-over-year basis. On average, equities analysts anticipate that Shopify will post 1.46 EPS for the current year.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in SHOP. Norris Financial Group LLC purchased a new position in Shopify during the first quarter valued at approximately $1,586,000. Infusive Asset Management Inc. increased its stake in shares of Shopify by 27.4% in the first quarter. Infusive Asset Management Inc. now owns 43,611 shares of the software maker's stock worth $5,173,000 after purchasing an additional 9,374 shares in the last quarter. OMERS ADMINISTRATION Corp increased its stake in shares of Shopify by 18.6% in the first quarter. OMERS ADMINISTRATION Corp now owns 58,044 shares of the software maker's stock worth $6,876,000 after purchasing an additional 9,096 shares in the last quarter. Ninepoint Partners LP purchased a new stake in shares of Shopify in the second quarter worth $29,027,000. Finally, The Manufacturers Life Insurance Company raised its position in shares of Shopify by 8.5% during the 1st quarter. The Manufacturers Life Insurance Company now owns 8,418,903 shares of the software maker's stock valued at $998,137,000 after purchasing an additional 660,198 shares during the period. 69.27% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Shopify

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Shopify reported Q3 revenue of about $3.7 billion, up 32% year over year, and earnings per share of $0.49, above analyst estimates. Operating income rose 66%, and free cash flow increased 61% to $816 million. Shopify Stock Fell After Its Report. Here's the Price I'd Pay for It.
• Positive Sentiment: Management highlighted momentum in AI-enabled commerce: AI traffic was up 2.6 times, while Shop Pay gross merchandise volume grew 50%. The company’s Q4 outlook was also described as upbeat. Shopify Q3 2026 Earnings Call Highlights
• Positive Sentiment: ARK Invest bought Shopify shares after the post-earnings sell-off, and Jefferies encouraged investors to buy on weakness—providing some support for the bullish view. ARK Invest Buys Shopify Shares After Sell-Off
• Negative Sentiment: The main trigger for the decline was Q3 GMV of $119.1 billion, slightly below expectations, alongside misses in subscription revenue and, in some reports, total revenue. Investors appear to have treated these shortfalls as more important than the earnings beat. Shopify Falls After Q3 Revenue and Merchandise Volume Miss Estimates
• Negative Sentiment: Gross profit grew more slowly than revenue, and higher AI computing and pre-holiday infrastructure costs may weigh on margins. That has added to concern that growth and profitability may not match the expectations embedded in Shopify’s valuation. Shopify Sinks as Q3 Falls Short of Lofty Expectations

About Shopify

Shopify Inc is a commerce technology company that provides tools for businesses of various sizes to start, operate and grow online and in physical retail environments. Its platform supports online storefronts, product and inventory management, order processing, marketing, analytics and customer engagement.

The company offers subscription-based plans and merchant solutions, including Shopify Payments, Shopify POS, Shopify Capital and tools for shipping, checkout and fulfillment. Shopify also supports sales through multiple channels, such as merchants' own websites, mobile devices, social media and third-party marketplaces.

Shopify was founded in 2006 by Tobias Lütke, Daniel Weinand and Scott Lake after the founders developed an online store for snowboarding equipment.

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