Shopify Inc. (NASDAQ:SHOP) Given Consensus Rating of "Moderate Buy" by Analysts

Key Points

• Shopify has a consensus “Moderate Buy” rating from 43 analysts, with 31 buy ratings and an average 1-year price target of about $157.17.
• The company recently authorized an additional $3 billion share repurchase, bringing the total buyback program to $5 billion, which signals management confidence and may support the stock.
• Analysts continue to emphasize Shopify’s AI and commerce infrastructure potential, while the company’s latest earnings beat expectations on both earnings and revenue.

Shopify Inc. (NASDAQ:SHOP - Get Free Report) TSE: SHOP has earned a consensus recommendation of "Moderate Buy" from the forty-three ratings firms that are presently covering the company, Marketbeat reports. Ten equities research analysts have rated the stock with a hold recommendation, thirty-one have given a buy recommendation and two have assigned a strong buy recommendation to the company. The average 1-year price objective among brokers that have covered the stock in the last year is $157.1667.

SHOP has been the topic of several research analyst reports. Canaccord Genuity Group lowered their price target on Shopify from $165.00 to $145.00 and set a "buy" rating on the stock in a report on Wednesday, May 6th. Wells Fargo & Company reduced their price objective on Shopify from $166.00 to $144.00 and set an "overweight" rating for the company in a research report on Wednesday, May 6th. Needham & Company LLC restated a "buy" rating and set a $180.00 price target on shares of Shopify in a research note on Tuesday, May 5th. Oppenheimer restated an "outperform" rating and issued a $175.00 price target on shares of Shopify in a research report on Wednesday, May 6th. Finally, Piper Sandler reaffirmed an "overweight" rating and issued a $150.00 price objective (down from $165.00) on shares of Shopify in a research note on Tuesday, May 5th.

Shopify Price Performance

Shares of Shopify stock opened at $113.23 on Wednesday. Shopify has a 1 year low of $94.00 and a 1 year high of $182.19. The firm's 50-day moving average is $113.77 and its 200 day moving average is $130.80. The stock has a market cap of $146.93 billion, a price-to-earnings ratio of 112.11, a PEG ratio of 3.15 and a beta of 2.60.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP last released its quarterly earnings data on Tuesday, May 5th. The software maker reported $999.00 earnings per share for the quarter, beating analysts' consensus estimates of $0.22 by $998.78. The business had revenue of $3.17 billion during the quarter, compared to analyst estimates of $3.08 billion. Shopify had a net margin of 10.77% and a return on equity of 12.07%. On average, equities analysts expect that Shopify will post 1.36 EPS for the current fiscal year.

Key Headlines Impacting Shopify

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Shopify said its board authorized an additional $3 billion share repurchase, lifting the total buyback authorization to $5 billion. That signals confidence in the company’s cash generation and can support the stock by reducing share count. Is Shopify (SHOP) One of the Best Tech Stocks to Invest In on the Dip?
• Positive Sentiment: Analysts and media coverage continue to highlight Shopify’s AI retail infrastructure potential, with the company using AI tools, commerce data, and shopping-channel integrations to position itself for next-generation retail growth. Is Shopify Building the Future Infrastructure for AI Retail?
• Positive Sentiment: Coverage from Zacks and other outlets notes earnings growth and price strength, reinforcing the view that Shopify remains a stock to watch among momentum investors. Earnings Growth & Price Strength Make Shopify (SHOP) a Stock to Watch
• Neutral Sentiment: At Shopify’s 2026 annual meeting, shareholders elected all director nominees, reappointed PricewaterhouseCoopers as auditor, and approved executive compensation on an advisory basis. The company also said a shareholder proposal for an AI policy was not approved, which removes some governance uncertainty but is unlikely to be a major stock catalyst. Shopify Announces Results of its 2026 Annual Meeting of Shareholders
• Neutral Sentiment: One market commentary put a hold rating on Shopify and suggested limited downside from current levels, reflecting that the stock is still viewed as fairly valued by some observers rather than deeply mispriced. Wall Street Has 38 Buy Ratings on Shopify and One Sell. But We Disagree.
• Negative Sentiment: A shareholder proposal on an AI policy was rejected at the annual meeting, and some coverage has framed this as an ongoing governance issue, though it appears to be a secondary factor versus the buyback and growth narrative. Shopify board fighting shareholder push to create AI policy

Institutional Investors Weigh In On Shopify

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SHOP. Kingdom Financial Group LLC. bought a new stake in shares of Shopify during the 4th quarter valued at $26,000. Curio Wealth LLC bought a new position in Shopify in the 4th quarter worth $27,000. Evolution Wealth Management Inc. increased its stake in Shopify by 203.9% in the 1st quarter. Evolution Wealth Management Inc. now owns 231 shares of the software maker's stock worth $27,000 after buying an additional 155 shares in the last quarter. Graney & King LLC purchased a new stake in Shopify in the 1st quarter worth $27,000. Finally, Mowery & Schoenfeld Wealth Management LLC bought a new stake in Shopify during the fourth quarter valued at about $29,000. Institutional investors own 69.27% of the company's stock.

Shopify Company 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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