Northside Capital Management LLC Purchases New Position in Shopify Inc. $SHOP

Key Points

• Northside Capital Management initiated a Shopify position of 6,842 shares valued at approximately $781,000 in the second quarter. Institutional investors now own 69.27% of the company.
• Shopify reported quarterly revenue of $3.58 billion, up 33.7% year over year, and adjusted earnings of $0.42 per share, beating estimates by $0.02.
• Analysts maintain a consensus “Moderate Buy” rating with an average price target of $170.72, though Shopify’s valuation remains elevated at a price-to-earnings ratio above 103.

Northside Capital Management LLC purchased a new stake in shares of Shopify Inc. (NASDAQ:SHOP - Free Report) TSE: SHOP in the second quarter, according to the company in its most recent disclosure with the SEC. The institutional investor purchased 6,842 shares of the software maker's stock, valued at approximately $781,000.

A number of other large investors have also recently made changes to their positions in SHOP. Brighton Jones LLC boosted its holdings in Shopify by 2.8% in the fourth quarter. Brighton Jones LLC now owns 21,176 shares of the software maker's stock valued at $2,252,000 after acquiring an additional 584 shares in the last quarter. AQR Capital Management LLC raised its holdings in Shopify by 107.3% in the 1st quarter. AQR Capital Management LLC now owns 14,576 shares of the software maker's stock worth $1,392,000 after purchasing an additional 7,544 shares in the last quarter. Sivia Capital Partners LLC raised its holdings in Shopify by 6.6% in the 2nd quarter. Sivia Capital Partners LLC now owns 8,190 shares of the software maker's stock worth $945,000 after purchasing an additional 506 shares in the last quarter. Osterweis Capital Management Inc. purchased a new stake in shares of Shopify in the 2nd quarter worth about $53,000. Finally, Main Street Financial Solutions LLC lifted its position in shares of Shopify by 15.3% in the 2nd quarter. Main Street Financial Solutions LLC now owns 11,131 shares of the software maker's stock worth $1,284,000 after purchasing an additional 1,479 shares during the period. 69.27% of the stock is currently owned by institutional investors.

Shopify Price Performance

SHOP stock opened at $152.61 on Wednesday. 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 firm has a 50 day moving average price of $120.48 and a 200-day moving average price of $119.73. Shopify Inc. has a 52-week low of $94.00 and a 52-week high of $182.19. The firm has a market capitalization of $198.04 billion, a price-to-earnings ratio of 103.11, a PEG ratio of 3.29 and a beta of 2.58.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP last posted its quarterly earnings results on Wednesday, August 5th. The software maker reported $0.42 earnings per share for the quarter, topping the consensus estimate of $0.40 by $0.02. Shopify had a return on equity of 12.58% and a net margin of 14.53%.The company had revenue of $3.58 billion for the quarter. During the same quarter in the previous year, the company earned $0.69 EPS. The business's quarterly revenue was up 33.7% on a year-over-year basis. Equities research analysts forecast that Shopify Inc. will post 1.4 EPS for the current fiscal year.

Shopify News Roundup

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Shopify’s latest earnings beat and continued revenue growth have strengthened investor confidence. Technical analysts say the stock’s breakout could support a move toward new highs if key support levels hold. Shopify Price Forecast: Breakout Signals Point Toward Higher Prices
• Positive Sentiment: Shopify was highlighted alongside Sea Limited as part of renewed enthusiasm for e-commerce stocks following strong quarterly results, suggesting investors may be rotating back into the sector. Sea Limited and Shopify Both Soar After Earnings
• Positive Sentiment: Brokerages collectively maintain a “Moderate Buy” recommendation, providing continued institutional support for the shares. Shopify Receives Average Recommendation of Moderate Buy
• Positive Sentiment: Analysts and market commentators continue to point to Shopify’s earnings growth, price strength, partner ecosystem and broad merchant reach as evidence of a durable competitive position. Shopify’s ecosystem is reported to support approximately 1.5 million jobs worldwide. Earnings Growth and Price Strength Make Shopify a Stock to Watch
• Neutral Sentiment: The reported August short-interest data shows zero shares sold short and a zero-day short-interest ratio. Because the figures also contain an “NaN” change, the data appears unreliable and does not provide a meaningful signal about investor positioning.
• Negative Sentiment: Legal scrutiny of embedded checkout technology and privacy-related tracking practices could create compliance costs, reputational risk or restrictions on Shopify’s tools. Embedded Tech, Real Privacy Risk

Analyst Ratings Changes

SHOP has been the topic of several research analyst reports. 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. National Bank Financial restated an "outperform" rating and issued a $180.00 price objective (up from $155.00) on shares of Shopify in a report on Wednesday, August 5th. DZ Bank cut Shopify from a "strong-buy" rating to a "hold" rating in a research report on Friday, August 7th. The Goldman Sachs Group upped their target price on Shopify from $170.00 to $194.00 and gave the stock a "buy" rating in a report on Thursday, August 6th. Finally, Rothschild & Co Redburn set a $130.00 target price on Shopify and gave the company a "neutral" rating in a research note on Tuesday, July 21st. One analyst has rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating and ten have given a Hold rating to the company. Based on data from MarketBeat.com, Shopify currently has an average rating of "Moderate Buy" and a consensus price target of $170.72.

Shopify Profile

Shopify is a Canadian commerce technology company that provides a cloud-based platform for businesses to create, manage and scale online and physical retail stores. Its core offering is a software-as-a-service e-commerce platform that enables merchants to build customizable storefronts, manage product catalogs, process orders, and handle inventory. Shopify also supports omnichannel selling through integrated point-of-sale (POS) systems for in-person transactions.

Beyond storefront software, Shopify offers a range of merchant services and tools designed to simplify commerce operations.

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