
Shopify Inc (SHOP) Stock Forecast & Price Target
Shopify Inc (SHOP) Analyst Ratings
Bulls say
Shopify is positioned to continue its strong growth, with factors such as net new revenue growth and a strong subscription solutions segment contributing to its success. The company's ability to expand monetization of its existing merchant base and its diverse range of products and services, such as Shopify Payments and Shopify Shipping, are key drivers of its robust revenue growth.The company also has potential for significant upside to Street's growth estimates, with projected year-1 revenue cohort contributions showing strong growth and potential for further expansion. Additionally, Shopify has shown strength in its financials, with consistently strong gross profit and FCF margins, and effective management of operating expenses leading to improved profitability.Overall, the company's focus on innovation and expansion, combined with its strong financials and potential for growth, make Shopify a promising investment opportunity.
Bears say
Shopify is facing headwinds to its FCF margins with cash taxes increasing to ~28% of EBIT in 1Q26 from ~13% in FY25. The Street's model for 2027E revs of ~$19B may be too optimistic with total net new rev growth slowing to ~6% y/y, and PSC assumptions on net new. There is potential for FCF margins to expand ~177bps annually '26E-'29E. However, this may be hampered by cash taxes and new cohort framework showing slower growth.
This aggregate rating is based on analysts' research of Shopify Inc and is not a guaranteed prediction by Public.com or investment advice.
Shopify Inc (SHOP) Analyst Forecast & Price Prediction
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