ARK Investment Management LLC Increases Position in Shopify Inc. $SHOP

Key Points

• ARK Investment Management LLC increased its stake in Shopify Inc. by 13.6% during the second quarter, owning approximately 5 million shares, which represents 4.3% of their overall portfolio.
• Major institutional investors, including Nuveen LLC and Jennison Associates LLC, significantly modified their positions in Shopify, reflecting a growing interest as 69.27% of the stock is now held by institutional investors.
• Recent analyst reports indicate a mix of ratings for Shopify, with target prices ranging from $150 to $180, reflecting analyst confidence in future performance despite some caution.

ARK Investment Management LLC grew its stake in shares of Shopify Inc. (NASDAQ:SHOP - Free Report) TSE: SHOP by 13.6% during the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 5,049,508 shares of the software maker's stock after buying an additional 605,283 shares during the quarter. Shopify accounts for approximately 4.3% of ARK Investment Management LLC's portfolio, making the stock its 6th largest holding. ARK Investment Management LLC owned about 0.39% of Shopify worth $582,461,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also recently modified their holdings of SHOP. Nuveen LLC bought a new position in shares of Shopify during the first quarter valued at about $667,392,000. Jennison Associates LLC grew its stake in shares of Shopify by 324.3% in the first quarter. Jennison Associates LLC now owns 5,280,781 shares of the software maker's stock worth $504,209,000 after purchasing an additional 4,036,326 shares during the last quarter. Canada Pension Plan Investment Board grew its stake in shares of Shopify by 34.4% in the first quarter. Canada Pension Plan Investment Board now owns 5,943,409 shares of the software maker's stock worth $565,504,000 after purchasing an additional 1,522,573 shares during the last quarter. Mackenzie Financial Corp grew its stake in shares of Shopify by 19.7% in the first quarter. Mackenzie Financial Corp now owns 8,648,734 shares of the software maker's stock worth $822,745,000 after purchasing an additional 1,426,406 shares during the last quarter. Finally, Alliancebernstein L.P. grew its stake in shares of Shopify by 24.6% in the first quarter. Alliancebernstein L.P. now owns 5,554,420 shares of the software maker's stock worth $530,336,000 after purchasing an additional 1,094,840 shares during the last quarter. 69.27% of the stock is owned by institutional investors.

Analysts Set New Price Targets

Several analysts recently issued reports on SHOP shares. ATB Capital cut Shopify to a "sector perform" rating in a research note on Thursday, August 7th. National Bankshares raised their target price on Shopify from $140.00 to $180.00 and gave the stock an "outperform" rating in a research note on Thursday, August 7th. The Goldman Sachs Group raised their target price on Shopify from $120.00 to $176.00 and gave the stock a "buy" rating in a research note on Thursday, August 7th. Zacks Research raised Shopify from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, October 14th. Finally, Mizuho raised their price objective on shares of Shopify from $85.00 to $150.00 and gave the stock a "neutral" rating in a report on Thursday, August 7th. One research analyst has rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating, twenty-two have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Shopify currently has a consensus rating of "Moderate Buy" and an average price target of $152.76.

Shopify Stock Down 1.3%

Shares of NASDAQ SHOP opened at $162.64 on Wednesday. Shopify Inc. has a twelve month low of $69.84 and a twelve month high of $169.69. The firm has a market cap of $211.38 billion, a P/E ratio of 90.86, a PEG ratio of 7.71 and a beta of 2.72. The company has a 50 day moving average of $148.61 and a 200 day moving average of $122.30.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP last issued its quarterly earnings data on Wednesday, August 6th. The software maker reported $0.35 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.29 by $0.06. Shopify had a net margin of 23.42% and a return on equity of 12.30%. The firm had revenue of $2.68 billion during the quarter, compared to the consensus estimate of $2.55 billion. During the same quarter in the previous year, the firm posted $0.26 EPS. The company's revenue for the quarter was up 31.1% compared to the same quarter last year. As a group, equities analysts expect that Shopify Inc. will post 1.12 earnings per share for the current fiscal year.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.