Shopify Stock Analysis
| SHOP Stock | CAD 159.84 -6.34 -3.82% |
Shopify is currently modeled as overvalued with a Real Value of $146.01. This stock analysis focuses on estimating intrinsic value. The estimate helps distinguish economic value from observed trading price. This stock framework combines fundamental analysis with technical analysis. Fundamental analysis focuses on financial and economic factors such as revenue, earnings, and stability.
Shopify holds a debt-to-equity ratio of 0.136. Rising leverage can increase Shopify's financial risk sensitivity. The dataset reflects standardized financial reporting inputs. Asset vs Debt
Equity vs Debt
Shopify |
Stock Analysis Notes
About 74.0% of the company shares are owned by institutional investors. The company had not issued any dividends in recent years. Shopify completed a 10:1 stock split on 29th of June 2022. For Shopify, recent data highlights C$15.2 billion in Total Assets and C$2.1 billion in Current Assets.Investor Insights and Alerts
| Shopify generated a negative expected return over the last 90 days | |
| Shopify has high historical volatility and very poor performance | |
| About 74.0% of the company shares are owned by institutional investors | |
| Latest headline from news.google.com: Nam Sys Inc. Announces Special Dividend, Payable on March 12, 2026 - marketscreener.com |
Market Capitalization
Shopify enters market cap screens as a mega-cap name with total equity value near 210.47 B across information technology companies. Supporting market cap data includes operating in the Information Technology industry, about 1.23 B shares outstanding, and enterprise value near 201.46 B.Profitability
Understanding Shopify's profitability goes beyond headline earnings. Margin durability, leverage, and capital needs all matter. The key question is whether current profitability is lasting, cyclical, or boosted by items that may not repeat. The company has Profit Margin (PM) of 11.0 %, which may reflect disciplined cost management and effective pricing. This exceeds the sector median. Similarly, it shows Operating Margin (OM) of 20.0 %, which entails that for every $100 of revenue, the company generated $20.0 of operating income.Technical Drivers
As of the 25th of March, Shopify maintains a quoted price of 159.84 per share. Short-term indicators show Variance of 13.02, risk adjusted performance of -0.09, and Coefficient Of Variation of -822.56. The model measures trend continuation and reversal probability using historical patterns. Comparative analytics measure deviation from sector averages.Shopify Price Movement Analysis - Bollinger Bands
This analysis covers thirty-eight data points across the selected time horizon. The Bollinger Bands is very popular indicator that was developed by John Bollinger. It consist of three lines. Shopify middle band is a simple moving average of its typical price. The upper and lower bands are (N) standard deviations above and below the middle band. The bands widen and narrow when the volatility of the price is higher or lower, respectively. The upper and lower bands can also be interpreted as price targets for Shopify. When the price bounces off of the lower band and crosses the middle band, then the upper band becomes the price target.
Outstanding Bonds
Outstanding bonds linked to Shopify can tell investors a great deal about how the company finances itself beyond common equity markets. Used together with earnings and cash-flow analysis, the bond stack can reveal whether leverage is a manageable tool or a developing constraint.
| MPLX LP 4125 Corp BondUS55336VAK61 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View |
Predictive Daily Indicators
Daily signals in Shopify help active traders track momentum, reversals, and volume pressure during the session. The best setups combine these signals with strict risk limits, since short-term data can reverse fast when liquidity thins.
| Accumulation Distribution | 82574.88 | |||
| Daily Balance Of Power | -1.07 | |||
| Rate Of Daily Change | 0.96 | |||
| Day Median Price | 160.73 | |||
| Day Typical Price | 160.43 | |||
| Price Action Indicator | -4.05 | |||
| Period Momentum Indicator | -6.34 | |||
| Relative Strength Index | 41.01 |
Forecast Models
Forecasting applied to Shopify learns from price structure, volatility patterns, and trend strength rather than commentary alone. The practical edge is not the forecast number itself, but knowing when the data is becoming less predictable.Debt to Cash Allocation
Shopify has accumulated CAD358.35 M in total debt with debt to equity ratio (D/E) of 0.14, which may suggest Shopify is not taking enough advantage from borrowing. Shopify has a current ratio of 10.95, suggesting that it is liquid and has the ability to pay its financial obligations in time and when they become due. Debt can assist Shopify until it has trouble settling it off, either with new capital or with free cash flow. So, Shopify's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Shopify sell additional shares at bargain prices, diluting existing shareholders. Debt can serve as one financing mechanism for Shopify to fund growth, though the effectiveness depends on borrowing costs and execution. When we think about Shopify's use of debt, we should always consider it together with cash and equity.Assets Financed by Debt
Typically, companies with high debt-to-asset ratios are said to be highly leveraged. The higher the ratio, the greater risk will be associated with the Shopify's operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of Shopify, which in turn will lower the firm's financial flexibility.Corporate Bonds Issued
Stock Analysis Methodology
If Shopify fundamentals are improving, the diagnostic should show it through margins, leverage, and cash-flow trends. Shopify shows ROE of 9.84% and net margin of 10.65%. Balance sheet indicators include debt-to-equity of 0.14 and current ratio of 11.17.
Data shown for Shopify is aggregated from periodic company reporting and market reference feeds and normalized across reporting formats. Source publication timing can introduce delays.
This content is curated and reviewed by:
Ellen Johnson - Member of Macroaxis Editorial BoardBe your own money manager
Wealth building around Shopify is more effective when position sizing, diversification, and expected return are reviewed together rather than as separate decisions. This is most useful when investors want to stay transparent on portfolio risk while still pursuing upside.
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More Resources for Shopify Stock Analysis
Reviewing Shopify typically starts with core financial statements and performance trends. Ratio analysis outlines performance across profit, efficiency, and growth.Shopify has a market cap of 210.47 B, operating margin of 20.29%, current ratio of 11.17. World Market Map can help frame allocation decisions. Shopify can be evaluated within a portfolio framework for weight and risk impact. Position allocation is driven by the portfolio construction model in use. Broader economic conditions can influence Shopify's company valuation — related indicators include signals in inflation.Read more about Shopify Stock in our How to Buy Shopify Stock guide. It covers account setup, order types, and timing considerations for Shopify. It serves as a practical starting point for Shopify Stock research.With Shopify showing P/E 3.13 and ROE 9.84%, investors get more value when this analysis is combined with the diversification and construction tools below. That valuation within Technology invites comparison with Software—Application peers using the tools below to judge whether the multiple is justified. You can also try the Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.