Shopify, the Technology sector company, was revisited by a Wall Street analyst on November 4. Analyst Tyler Radke from Citi maintained a Buy rating on the stock and has a $195.00 price target.
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Tyler Radke has given his Buy rating due to a combination of factors that highlight Shopify’s strong financial performance and growth potential. Shopify reported impressive revenue and gross merchandise volume (GMV) growth, surpassing expectations and setting a new benchmark for recent quarters. The company’s revenue grew by 32% year-over-year, while GMV increased by 31%, indicating a positive trend despite challenging market conditions.
Additionally, Shopify’s profitability exceeded expectations, with EBIT coming in approximately 6% above guidance. The company’s strong outlook for the fourth quarter, maintaining robust revenue growth and slightly better EBIT, suggests potential for positive revisions and continued growth. Radke anticipates that Shopify’s shares will outperform peers, driven by accelerating growth and strong underlying trends, making it an attractive investment opportunity.
Radke covers the Technology sector, focusing on stocks such as Oracle, Autodesk, and Salesforce. According to TipRanks, Radke has an average return of 8.0% and a 52.31% success rate on recommended stocks.
In another report released yesterday, D.A. Davidson also maintained a Buy rating on the stock with a $195.00 price target.