Royal Bank of Canada Reaffirms Outperform Rating for Shopify (NYSE:SHOP)

Royal Bank of Canada restated their outperform rating on shares of Shopify (NYSE:SHOP) (TSE:SHOP) in a research report report published on Thursday, Benzinga reports. They currently have a $85.00 price objective on the software maker’s stock.

Several other research firms have also recently weighed in on SHOP. Wells Fargo & Company upped their price objective on shares of Shopify from $75.00 to $80.00 and gave the stock an overweight rating in a research report on Thursday. StockNews.com upgraded Shopify from a sell rating to a hold rating in a research report on Wednesday, April 24th. JPMorgan Chase & Co. initiated coverage on Shopify in a report on Tuesday, June 11th. They set an overweight rating and a $74.00 price target on the stock. CIBC dropped their price objective on shares of Shopify from $100.00 to $85.00 and set an outperformer rating for the company in a report on Thursday, May 9th. Finally, Robert W. Baird cut their target price on shares of Shopify from $87.00 to $77.00 and set an outperform rating on the stock in a research report on Thursday, May 9th. One investment analyst has rated the stock with a sell rating, fifteen have given a hold rating and twenty-three have given a buy rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of Moderate Buy and an average price target of $77.24.

Shopify Stock Performance

Shares of SHOP stock traded up $0.75 during midday trading on Thursday, hitting $69.30. 10,931,244 shares of the company were exchanged, compared to its average volume of 10,422,090. Shopify has a 52 week low of $45.50 and a 52 week high of $91.57. The firm has a market capitalization of $89.31 billion, a P/E ratio of -407.65, a PEG ratio of 3.14 and a beta of 2.30. The firm’s 50 day moving average price is $63.43 and its two-hundred day moving average price is $69.89. The company has a debt-to-equity ratio of 0.10, a quick ratio of 7.14 and a current ratio of 7.14.

Shopify (NYSE:SHOP) (TSE:SHOP) last released its quarterly earnings results on Wednesday, August 7th. The software maker reported $0.26 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.20 by $0.06. Shopify had a positive return on equity of 7.36% and a negative net margin of 2.82%. The business had revenue of $2.05 billion during the quarter, compared to the consensus estimate of $2.01 billion. During the same period in the previous year, the company posted ($0.08) EPS. The firm’s quarterly revenue was up 20.7% on a year-over-year basis. As a group, equities research analysts anticipate that Shopify will post 0.62 earnings per share for the current year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Private Wealth Management Group LLC purchased a new stake in Shopify during the fourth quarter valued at about $26,000. DSM Capital Partners LLC purchased a new position in Shopify in the 4th quarter valued at approximately $28,000. Jones Financial Companies Lllp bought a new stake in Shopify during the 4th quarter valued at $28,000. Your Advocates Ltd. LLP boosted its holdings in shares of Shopify by 4,344.4% in the fourth quarter. Your Advocates Ltd. LLP now owns 400 shares of the software maker’s stock worth $31,000 after acquiring an additional 391 shares during the period. Finally, Cultivar Capital Inc. bought a new position in Shopify in the 2nd quarter valued at $33,000. 69.27% of the stock is currently owned by hedge funds and other institutional investors.

About Shopify

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.