Shopify (NYSE:SHOP) Stock Rating Lowered by Phillip Securities

Key Points

• Shopify's stock rating was downgraded from "moderate buy" to "hold" by Phillip Securities, reflecting growing caution among analysts about the stock's performance.
• Several analysts have recently adjusted their price targets for Shopify, with estimates ranging from $91 to $170, indicating mixed sentiment in the market.
• Despite the downgrades, Shopify reported a strong quarterly earnings performance, with a revenue of $2.68 billion, surpassing analysts' expectations and showing a 31.1% increase year-over-year.

Shopify (NYSE:SHOP - Get Free Report) TSE: SHOP was downgraded by stock analysts at Phillip Securities from a "moderate buy" rating to a "hold" rating in a research note issued to investors on Tuesday,Zacks.com reports.

A number of other analysts also recently issued reports on the company. BNP Paribas downgraded Shopify from a "strong-buy" rating to a "hold" rating in a research report on Monday, May 5th. Cantor Fitzgerald reiterated a "neutral" rating and set a $91.00 price target on shares of Shopify in a research report on Wednesday, June 11th. Canaccord Genuity Group lifted their price target on Shopify from $115.00 to $165.00 and gave the company a "buy" rating in a research report on Thursday, August 7th. Evercore ISI lifted their price target on Shopify from $120.00 to $170.00 and gave the company an "outperform" rating in a research report on Friday, August 8th. Finally, Mizuho lifted their price target on Shopify from $85.00 to $150.00 and gave the company a "neutral" rating in a research report on Thursday, August 7th. One research analyst has rated the stock with a sell rating, nineteen have given a hold rating and twenty-four have issued a buy rating to the company. According to MarketBeat, Shopify currently has an average rating of "Moderate Buy" and an average target price of $148.51.

Shopify Stock Up 0.5%

SHOP stock opened at $150.09 on Tuesday. The firm has a market capitalization of $194.72 billion, a PE ratio of 96.83, a PEG ratio of 4.82 and a beta of 2.63. Shopify has a twelve month low of $65.86 and a twelve month high of $156.85. The stock has a 50-day simple moving average of $120.13 and a two-hundred day simple moving average of $108.72.

Shopify (NYSE:SHOP - Get Free Report) TSE: SHOP last posted its earnings results on Wednesday, August 6th. The software maker reported $0.35 earnings per share for the quarter, beating analysts' consensus estimates of $0.29 by $0.06. The business had revenue of $2.68 billion during the quarter, compared to analyst estimates of $2.55 billion. Shopify had a return on equity of 12.00% and a net margin of 22.74%. The company's quarterly revenue was up 31.1% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.26 EPS. On average, equities research analysts anticipate that Shopify will post 1.12 EPS for the current fiscal year.

Institutional Investors Weigh In On Shopify

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Family Legacy Financial Solutions LLC purchased a new stake in Shopify in the second quarter worth $25,000. Rothschild Investment LLC grew its stake in Shopify by 47.5% in the second quarter. Rothschild Investment LLC now owns 233 shares of the software maker's stock worth $27,000 after purchasing an additional 75 shares during the period. Financial Gravity Companies Inc. purchased a new stake in Shopify in the second quarter worth $27,000. Tradewinds Capital Management LLC grew its stake in Shopify by 71.4% in the second quarter. Tradewinds Capital Management LLC now owns 240 shares of the software maker's stock worth $28,000 after purchasing an additional 100 shares during the period. Finally, Coastline Trust Co purchased a new stake in Shopify in the second quarter worth $29,000. 69.27% of the stock is owned by hedge funds and other institutional investors.

Shopify Company Profile

Shopify Inc, a commerce company, provides a commerce platform and services in Canada, the United States, Europe, the Middle East, Africa, the Asia Pacific, Australia, China, and Latin America. The company's platform enables merchants to displays, manages, markets, and sells its products through various sales channels, including web and mobile storefronts, physical retail locations, pop-up shops, social media storefronts, native mobile apps, buy buttons, and marketplaces; and enables to manage products and inventory, process orders and payments, fulfill and ship orders, new buyers and build customer relationships, source products, leverage analytics and reporting, manage cash, payments and transactions, and access financing.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.