Shopify Inc. $SHOP Shares Sold by Weaver Capital Management LLC

Key Points

• Weaver Capital Management cut its Shopify stake by 44.6% in the third quarter, selling 24,203 shares and retaining 30,043 shares valued at approximately $4.46 million. Institutional investors collectively own 69.27% of Shopify.
• Wall Street remains broadly optimistic, with a consensus “Moderate Buy” rating and average price target of $175.37; several analysts recently raised targets as high as $190.
• Shopify reported strong operating momentum, including 33.7% year-over-year revenue growth and $3.58 billion in quarterly revenue, but its high valuation—about 120 times earnings—leaves the stock vulnerable to disappointing guidance or results.

Weaver Capital Management LLC reduced its stake in shares of Shopify Inc. (NASDAQ:SHOP - Free Report) TSE: SHOP by 44.6% in the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 30,043 shares of the software maker's stock after selling 24,203 shares during the period. Weaver Capital Management LLC's holdings in Shopify were worth $4,455,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently modified their holdings of SHOP. Norris Financial Group LLC bought a new position in shares of Shopify in the 1st quarter worth about $1,586,000. Infusive Asset Management Inc. grew its position in shares of Shopify by 27.4% during the 1st quarter. Infusive Asset Management Inc. now owns 43,611 shares of the software maker's stock valued at $5,173,000 after buying an additional 9,374 shares during the last quarter. OMERS ADMINISTRATION Corp grew its position in shares of Shopify by 18.6% during the 1st quarter. OMERS ADMINISTRATION Corp now owns 58,044 shares of the software maker's stock valued at $6,876,000 after buying an additional 9,096 shares during the last quarter. Ninepoint Partners LP bought a new stake in shares of Shopify during the 2nd quarter valued at about $29,027,000. Finally, The Manufacturers Life Insurance Company raised its stake 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 worth $998,137,000 after acquiring an additional 660,198 shares during the period. Institutional investors own 69.27% of the company's stock.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on the stock. Truist Financial set a $180.00 target price on shares of Shopify and gave the stock a "buy" rating in a report on Wednesday, August 5th. Phillip Securities downgraded Shopify from a "strong-buy" rating to a "moderate buy" rating in a research note on Monday, August 17th. Wells Fargo & Company reaffirmed an "overweight" rating and set a $180.00 target price (up from $144.00) on shares of Shopify in a report on Friday, August 7th. BTIG Research started coverage on Shopify in a report on Friday, July 10th. They set a "buy" rating for the company. Finally, Susquehanna assumed coverage on Shopify in a research report on Friday, July 10th. They set a "neutral" rating on the stock. Two research analysts have rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating and ten have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, Shopify has a consensus rating of "Moderate Buy" and an average target price of $175.37.

Key Stories Impacting Shopify

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Analyst targets point to further upside. Robert W. Baird raised its price target from $160 to $190 and maintained an “outperform” rating. Jefferies also sees potential gross merchandise volume upside, supporting optimism ahead of Shopify’s next earnings report. Analyst targets and earnings outlook
• Positive Sentiment: AI commerce is strengthening Shopify’s growth narrative. Analysts are highlighting Shopify’s payments network, Shop Pay, and integrations that allow third-party AI agents—including Meta’s Muse—to complete purchases across Shopify merchants. The company’s second-quarter gross merchandise volume rose 32% year over year to $116 billion, adding to expectations for continued momentum. Shopify AI commerce infrastructure
• Positive Sentiment: Strong recent performance and cash generation are attracting holders. Shopify has gained substantially since mid-July, while commentary points to an approximately 18% free-cash-flow margin and a business that is materially larger than at its prior record close. These factors support the long-term bull case, although they may also encourage profit-taking. Shopify free cash flow margin
• Neutral Sentiment: Shopify’s API update creates implementation work for merchants and app developers. Changes affecting checkout data, metafield filters, shipping rates, and tax recalculation could require updates to custom apps and integrations. The changes are unlikely to alter Shopify’s long-term outlook but may create short-term friction. Shopify October API update
• Negative Sentiment: Valuation and caution from some analysts remain risks. A Seeking Alpha downgrade recommended waiting for a better entry point after the sharp rally. With Shopify trading at a high earnings multiple, disappointing guidance or weaker-than-expected holiday-commerce results could trigger a pullback. Shopify valuation downgrade

Shopify Stock Performance

SHOP stock opened at $178.14 on Friday. Shopify Inc. has a 1 year low of $94.00 and a 1 year high of $182.19. The stock has a market capitalization of $229.20 billion, a price-to-earnings ratio of 120.36, a PEG ratio of 3.56 and a beta of 2.62. 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 fifty day moving average is $148.86 and its two-hundred day moving average is $127.95.

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

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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