Shopify (NASDAQ:SHOP) Price Target Raised to $194.00 at The Goldman Sachs Group

Key Points

• Goldman Sachs raised Shopify’s price target to $194 from $170 and maintained a “buy” rating, implying 34.5% upside from the stock’s current price.
• Shopify reported quarterly revenue of $3.58 billion, up 33.7% year over year, and adjusted EPS of $0.42, exceeding analysts’ $0.40 estimate.
• Analysts collectively rate Shopify a “Moderate Buy,” with a consensus price target of $162.58; the company also provided stronger-than-expected third-quarter revenue guidance of approximately $3.7 billion to $3.8 billion.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP had its target price hoisted by research analysts at The Goldman Sachs Group from $170.00 to $194.00 in a note issued to investors on Thursday, MarketBeat Ratings reports. The firm currently has a "buy" rating on the software maker's stock. The Goldman Sachs Group's price target points to a potential upside of 34.50% from the company's current price.

A number of other research analysts also recently issued reports on the company. Robert W. Baird set a $150.00 price objective on Shopify in a research note on Wednesday, May 6th. Jefferies Financial Group restated a "buy" rating and set a $175.00 price target on shares of Shopify in a research note on Wednesday. Cantor Fitzgerald raised their price target on shares of Shopify from $127.00 to $145.00 and gave the company a "neutral" rating in a research report on Thursday. BTIG Research initiated coverage on Shopify in a research note on Friday, July 10th. They set a "buy" rating for the company. Finally, Stifel Nicolaus set a $150.00 price target on shares of Shopify and gave the stock a "buy" rating in a report on Thursday, July 9th. Three research analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating and nine have issued a Hold rating to the stock. Based on data from MarketBeat.com, Shopify currently has an average rating of "Moderate Buy" and a consensus target price of $162.58.

Shopify Price Performance

Shares of SHOP opened at $144.24 on Thursday. Shopify has a 1 year low of $94.00 and a 1 year high of $182.19. The company has a market capitalization of $187.17 billion, a price-to-earnings ratio of 142.81, a price-to-earnings-growth ratio of 2.66 and a beta of 2.58. The business has a 50-day moving average of $117.98 and a 200-day moving average of $119.65.

Shopify (NASDAQ:SHOP - Get Free Report) TSE: SHOP last released its earnings results on Wednesday, August 5th. The software maker reported $0.42 earnings per share for the quarter, beating analysts' consensus estimates of $0.40 by $0.02. The business had revenue of $3.58 billion during the quarter. Shopify had a net margin of 10.77% and a return on equity of 12.07%. The business's revenue for the quarter was up 33.7% compared to the same quarter last year. During the same period in the prior year, the company posted $0.69 EPS. As a group, sell-side analysts anticipate that Shopify will post 1.4 EPS for the current year.

Hedge Funds Weigh In On Shopify

Several hedge funds have recently bought and sold shares of SHOP. Kingdom Financial Group LLC. purchased a new position 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 about $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 acquiring an additional 155 shares during the last quarter. Graney & King LLC purchased a new stake in shares of Shopify in the 1st quarter valued at about $27,000. Finally, Mowery & Schoenfeld Wealth Management LLC bought a new stake in shares of Shopify during the 4th quarter valued at about $29,000. Hedge funds and other institutional investors own 69.27% of the company's stock.

Trending Headlines about Shopify

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Broad-based Q2 growth exceeded expectations. Revenue rose 33.7% year over year to $3.58 billion, while adjusted EPS of $0.42 topped the roughly $0.40 consensus estimate. Gross merchandise volume, gross profit and free cash flow also grew more than 30%, and free-cash-flow margin reached 18%. Shopify Delivers Big: 30%+ Growth Across GMV, Revenue, Gross Profit and Free Cash Flow
• Positive Sentiment: Q3 guidance was above Wall Street forecasts. Shopify projected revenue of approximately $3.7 billion to $3.8 billion, implying growth in the low 30% range and exceeding the consensus estimate of about $3.6 billion. The outlook eased concerns that AI competition could slow merchant additions or pressure growth. Shopify expects Q3 revenue growth in the low 30s as it expands agentic commerce infrastructure
• Positive Sentiment: AI is generating additional traffic and orders. Shopify said referrals from AI platforms including ChatGPT and Gemini, along with orders originating from those channels, tripled year over year in Q2. Management described AI as expanding entrepreneurial access and positioning Shopify as infrastructure for agentic commerce. Shopify executive says AI is ushering in a golden age of entrepreneurship
• Positive Sentiment: Both major business segments contributed. Subscription solutions and merchant services helped drive the profit increase, suggesting growth is not dependent on a single product line. Shopify Profit Jumps as Subscriptions, Merchant Services Boost Revenues

About Shopify

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.

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