Shopify (NYSE:SHOP) Shares Down 3.6% – Here’s Why

Shares of Shopify Inc. (NYSE:SHOP) (TSE:SHOP) were down 3.6% during mid-day trading on Tuesday . The company traded as low as $93.60 and last traded at $93.11. Approximately 1,163,235 shares traded hands during trading, a decline of 86% from the average daily volume of 8,515,375 shares. The stock had previously closed at $96.59.

Wall Street Analysts Forecast Growth

A number of research firms have recently weighed in on SHOP. Wells Fargo & Company raised their price objective on Shopify from $120.00 to $135.00 and gave the stock an “overweight” rating in a research report on Wednesday, February 12th. Jefferies Financial Group raised their price target on Shopify from $110.00 to $130.00 and gave the stock a “hold” rating in a report on Tuesday, February 18th. Royal Bank of Canada upped their price objective on shares of Shopify from $130.00 to $145.00 and gave the company an “outperform” rating in a report on Wednesday, February 12th. New Street Research started coverage on shares of Shopify in a research note on Friday, January 10th. They issued a “neutral” rating and a $115.00 target price for the company. Finally, Piper Sandler upped their price target on shares of Shopify from $94.00 to $104.00 and gave the company a “neutral” rating in a research note on Wednesday, February 12th. One research analyst has rated the stock with a sell rating, fifteen have assigned a hold rating, twenty-four have assigned a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $126.31.

Shopify Stock Down 2.3 %

The firm has a market cap of $122.18 billion, a price-to-earnings ratio of 60.87, a price-to-earnings-growth ratio of 4.82 and a beta of 2.60. The company’s 50-day moving average price is $110.53 and its 200-day moving average price is $98.94.

Shopify (NYSE:SHOP) (TSE:SHOP) last posted its quarterly earnings data on Tuesday, February 11th. The software maker reported $0.34 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.44 by ($0.10). Shopify had a return on equity of 12.00% and a net margin of 22.74%. Analysts predict that Shopify Inc. will post 1.12 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Shopify

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Jennison Associates LLC purchased a new stake in Shopify during the 4th quarter valued at about $132,323,000. Watts Gwilliam & Co. LLC boosted its holdings in shares of Shopify by 53.0% during the 4th quarter. Watts Gwilliam & Co. LLC now owns 13,401 shares of the software maker’s stock worth $1,431,000 after purchasing an additional 4,641 shares during the last quarter. Teachers Retirement System of The State of Kentucky grew its position in shares of Shopify by 29.3% in the third quarter. Teachers Retirement System of The State of Kentucky now owns 342,030 shares of the software maker’s stock valued at $27,409,000 after purchasing an additional 77,500 shares in the last quarter. Wahed Invest LLC increased its holdings in shares of Shopify by 18.4% in the third quarter. Wahed Invest LLC now owns 57,624 shares of the software maker’s stock valued at $4,618,000 after purchasing an additional 8,960 shares during the last quarter. Finally, Public Employees Retirement System of Ohio purchased a new position in Shopify during the third quarter worth approximately $33,676,000. Institutional investors and hedge funds own 69.27% of the company’s stock.

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.