Shopify Inc. (NASDAQ:SHOP) Receives Average Rating of "Moderate Buy" from Analysts

Key Points

• Shopify currently has an average analyst rating of “Moderate Buy” from 45 brokerages, with 31 buy ratings, 3 strong buys, and 11 holds. The average 12-month price target is about $157.03.
• Recent analyst actions were mixed but still broadly constructive: Wells Fargo and DA Davidson lowered price targets while keeping positive ratings, Jefferies reiterated a hold, and Citigroup downgraded Shopify to neutral. BMO Capital Markets also recently initiated coverage with a market perform rating.
• Investor sentiment remains active, with some bullish themes around Shopify being a “major AI winner” and Zacks upgrading the stock to strong-buy. At the same time, valuation concerns and broader tech weakness continue to weigh on the shares, and investors are watching for Q2 2026 results on August 5.

Shares of Shopify Inc. (NASDAQ:SHOP - Get Free Report) TSE: SHOP have earned an average rating of "Moderate Buy" from the forty-five brokerages that are currently covering the stock, Marketbeat.com reports. Eleven investment analysts have rated the stock with a hold recommendation, thirty-one have assigned a buy recommendation and three have issued a strong buy recommendation on the company. The average twelve-month target price among brokerages that have covered the stock in the last year is $157.0278.

Several research analysts recently issued reports on the company. Wells Fargo & Company cut 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. DA Davidson lowered their target price on Shopify from $195.00 to $140.00 and set a "buy" rating on the stock in a report on Wednesday, May 6th. Jefferies Financial Group reissued a "hold" rating and set a $140.00 price target (down from $150.00) on shares of Shopify in a research report on Tuesday, May 5th. Citigroup cut Shopify from a "market outperform" rating to a "neutral" rating in a report on Friday. Finally, BMO Capital Markets assumed coverage on Shopify in a research report on Friday. They issued a "market perform" rating on the stock.

Trending Headlines about Shopify

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Bank of America said Shopify is a major AI winner, reinforcing the view that the company could benefit as merchants adopt AI tools to improve sales, marketing, and checkout performance. Bank of America argues Shopify is a major AI winner
• Positive Sentiment: Zacks upgraded Shopify from hold to strong-buy, and other research notes highlighted earnings growth and price strength, adding to bullish sentiment around the stock. Earnings Growth & Price Strength Make Shopify (SHOP) a Stock to Watch
• Neutral Sentiment: Shopify is also showing up on trending-stock lists and analyst-call roundups, suggesting elevated investor attention, but these items are more about visibility than a direct business catalyst. Shopify Inc. (SHOP) Is a Trending Stock
• Neutral Sentiment: Investors are also watching for Shopify’s Q2 2026 results on August 5, which could become a bigger driver once earnings are closer. This Week In E-Commerce - Shopify's Q2 2026 Financial Results Announcement Insights
• Negative Sentiment: Shopify remains a richly valued stock, with several recent articles questioning whether the current price is hard to justify, which may limit upside and keep volatility high. Shopify: Great Company, Impossible Valuation
• Negative Sentiment: There was also recent weakness in the broader tech market, and Shopify had already declined in a prior session, showing that macro pressure and high valuation can still weigh on the shares. HubSpot, Q2 Holdings, and Shopify Shares Plummet, What You Need To Know

Shopify Price Performance

Shares of NASDAQ SHOP traded down $0.63 on Friday, hitting $122.54. The company's stock had a trading volume of 5,472,989 shares, compared to its average volume of 7,931,916. Shopify has a 12-month low of $94.00 and a 12-month high of $182.19. The company has a market capitalization of $159.01 billion, a price-to-earnings ratio of 121.33, a price-to-earnings-growth ratio of 2.66 and a beta of 2.58. The stock has a 50 day moving average of $111.12 and a 200-day moving average of $125.24.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the company. First Affirmative Financial Network grew its holdings in shares of Shopify by 3.4% during the third quarter. First Affirmative Financial Network now owns 2,275 shares of the software maker's stock worth $338,000 after buying an additional 75 shares in the last quarter. TBH Global Asset Management LLC lifted its stake in shares of Shopify by 1.2% during the fourth quarter. TBH Global Asset Management LLC now owns 6,438 shares of the software maker's stock valued at $1,036,000 after buying an additional 75 shares during the period. Smartleaf Asset Management LLC boosted its position in Shopify by 13.9% during the second quarter. Smartleaf Asset Management LLC now owns 631 shares of the software maker's stock worth $72,000 after acquiring an additional 77 shares during the last quarter. Dynamic Advisor Solutions LLC boosted its position in Shopify by 2.6% during the fourth quarter. Dynamic Advisor Solutions LLC now owns 3,164 shares of the software maker's stock worth $509,000 after acquiring an additional 80 shares during the last quarter. Finally, Pacific Sage Partners LLC grew its stake in Shopify by 3.9% in the 4th quarter. Pacific Sage Partners LLC now owns 2,133 shares of the software maker's stock worth $343,000 after acquiring an additional 80 shares during the period. Institutional investors and hedge funds 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.