Shopify price target raised to $125 from $80 at Evercore ISI

Evercore ISI raised the firm’s price target on Shopify (SHOP) to $125 from $80 and keeps an Outperform rating on the shares after the company’s “clean” Q3 earnings results. Shares of Shopify are up over 20% on Tuesday driven by the company’s second meaningful free cash flow margin expansion, with the Q4 guidance largely calling for these trends to continue, the analyst tells investors in a research note. The firm noted that the biggest outperformance factors were strong International GMV growth, strong Enterprise GMV growth, and cost discipline, adding that it views Q3 results as fully confirming the premium fundamental trajectory of Shopify.