Analyst David Hynes of Canaccord Genuity maintained a Buy rating on Shopify (SHOP – Research Report), retaining the price target of $125.00.
David Hynes has given his Buy rating due to a combination of factors that highlight Shopify’s strong market position and growth potential. Despite its high valuation, Hynes believes that the company is well-positioned and executing effectively, which mitigates concerns about its premium price. The recent momentum, particularly in international markets, suggests that Shopify is poised for accelerating revenue growth and expanding margins, making it a compelling investment opportunity.
Moreover, potential risks such as tariffs are not expected to significantly impact Shopify’s business model, as the company benefits from a resilient U.S. consumer base and multiple growth drivers like international merchant expansion and B2B opportunities. Hynes also notes that while there might be short-term pressures on margins due to strategic investments, these are necessary for sustaining long-term growth. Overall, the analyst sees Shopify as a leader in a growing sector, advocating for buying its stock even amidst market volatility.
In another report released on February 5, Roth MKM also maintained a Buy rating on the stock with a $135.00 price target.
SHOP’s price has also changed dramatically for the past six months – from $54.220 to $118.580, which is a 118.70% increase.