Shopify Inc. $SHOP Stock Bought by Davis Rea LTD.

Key Points

• Davis Rea LTD. increased its Shopify stake by 14.3% in the third quarter, purchasing 10,000 additional shares to bring its holdings to 80,000 shares valued at approximately $11.9 million.
• Shopify reported quarterly revenue of $3.58 billion, up 33.7% year over year, and earnings per share of $0.42, exceeding analysts’ $0.40 estimate. Institutional investors collectively own 69.27% of the company.
• Analysts maintain a generally positive outlook, with Shopify receiving a “Moderate Buy” consensus rating and an average price target of $172.74, although its elevated valuation and potential AI-related costs remain key risks.

Davis Rea LTD. increased its stake in shares of Shopify Inc. (NASDAQ:SHOP - Free Report) TSE: SHOP by 14.3% in the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 80,000 shares of the software maker's stock after buying an additional 10,000 shares during the quarter. Shopify accounts for 3.4% of Davis Rea LTD.'s investment portfolio, making the stock its 10th largest holding. Davis Rea LTD.'s holdings in Shopify were worth $11,864,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors have also bought and sold shares of the stock. Accel Wealth Management purchased a new stake in shares of Shopify in the third quarter valued at about $242,000. McGlone Suttner Wealth Management Inc. bought a new position in shares of Shopify during the third quarter valued at about $220,000. Sax Wealth Advisors LLC boosted its holdings in Shopify by 45.0% during the third quarter. Sax Wealth Advisors LLC now owns 12,756 shares of the software maker's stock worth $1,892,000 after purchasing an additional 3,957 shares during the last quarter. Sound Income Strategies LLC purchased a new position in Shopify during the third quarter worth about $283,000. Finally, Riversedge Advisors LLC bought a new stake in Shopify in the 3rd quarter worth about $269,000. Institutional investors own 69.27% of the company's stock.

Shopify Stock Performance

SHOP traded down $2.70 during trading on Tuesday, hitting $176.52. 7,013,362 shares of the company traded hands, compared to its average volume of 10,359,124. The firm has a market cap of $227.12 billion, a P/E ratio of 119.27, a price-to-earnings-growth ratio of 3.53 and a beta of 2.62. The stock's fifty day moving average is $147.68 and its 200 day moving average is $127.08. The company has a quick ratio of 5.35, a current ratio of 5.35 and a debt-to-equity ratio of 0.01. Shopify Inc. has a one year low of $94.00 and a one year high of $182.19.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP last announced its quarterly earnings data 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 for the quarter. Shopify had a net margin of 14.53% and a return on equity of 12.58%. The business's revenue was up 33.7% on a year-over-year basis. During the same period in the prior year, the firm posted $0.69 EPS. As a group, equities analysts predict that Shopify Inc. will post 1.46 EPS for the current fiscal year.

Analyst Ratings Changes

Several equities analysts have commented on SHOP shares. Zacks Research cut shares of Shopify from a "strong-buy" rating to a "hold" rating in a research report on Friday, August 7th. Evercore reaffirmed an "outperform" rating and issued a $175.00 target price (up from $135.00) on shares of Shopify in a report on Wednesday, August 5th. Wells Fargo & Company reaffirmed an "overweight" rating and issued a $180.00 target price (up from $144.00) on shares of Shopify in a report on Friday, August 7th. Seaport Research Partners reaffirmed a "buy" rating and set a $180.00 price target on shares of Shopify in a research report on Thursday, October 8th. Finally, Bank of America started coverage on Shopify in a report on Tuesday, July 7th. They set a "buy" rating and a $150.00 price target on the stock. Two analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating and ten have assigned a Hold rating to the company. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $172.74.

More Shopify News

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Algolia launched a native Shopify B2B integration that enables account-specific search, product rankings and pricing for wholesale buyers. The functionality could improve discovery, reordering and conversion for Shopify merchants selling to businesses. Algolia Launches Native Shopify B2B Integration
• Positive Sentiment: Analyst commentary argues Shopify could become the payments and checkout infrastructure—or “settlement layer”—behind AI shopping agents rather than compete directly with them. Deutsche Bank and other investors see significant long-term potential from agentic commerce, supporting the recent rally. Shopify's Biggest AI Fear Just Became Its Best Catalyst
• Positive Sentiment: Shopify was included among leading mobile-payments stocks as digital wallets reach 56% of global online-shopping spend, highlighting potential exposure to continued digital-payment adoption. Top Mobile Payments Stocks to Buy as Digital Wallet Adoption Soars
• Neutral Sentiment: Cantor Fitzgerald raised its Shopify price target to $158 from $145 but kept a Neutral rating. The upgrade helped lift the shares previously, though the new target remains below the reference price, limiting its bullish significance. Why Shopify Stock Is Up Today
• Neutral Sentiment: Some growth-focused investors continue to describe Shopify as a key infrastructure provider for agentic commerce. However, the stock has substantially outperformed the broader market recently, making expectations and valuation more demanding. Building the Underlying Rails for the Era of Agentic Commerce
• Negative Sentiment: Shopify’s valuation is a key risk: commentary notes that it trades at a premium to comparable growth companies, while AI-related investment could pressure profitability. The neutral Cantor rating and below-market price target reinforce concerns that much of the AI opportunity may already be priced in. Why Shopify Stock Popped

Shopify Profile

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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