Home / Business and Economy / Shopify Stock Soars: Buy Rating Ignites $150 Target
Shopify Stock Soars: Buy Rating Ignites $150 Target
10 Jul
Summary
- Stifel upgraded Shopify to Buy, setting a $150 price target.
- Shopify achieved 35% GMV growth versus 9.8% for U.S. e-commerce.
- B2B and international GMV show strong growth, indicating global potential.
Stifel initiated coverage of Shopify with a Buy rating and a $150 price target, citing a recent 23% stock decline as an attractive entry point. The firm views Shopify as a high-quality company with an expanding competitive moat.
Shopify is reportedly leading the agentic commerce space and gaining market share across various sectors, including enterprise, B2B, international, and payments. Stifel projects a realistic path to over 30% revenue growth in 2026 and sustained mid-20s growth thereafter.
Evidence of Shopify's strong performance includes a 35% year-over-year increase in first-quarter gross merchandise volume (GMV) to $101 billion, far exceeding the U.S. e-commerce market's 9.8% growth. This broad-based growth spans different geographies, merchant sizes, and sales channels.
Further supporting the upgrade are significant growth vectors, such as enterprise solutions and B2B GMV, which grew 80% in the first quarter. International GMV also surged by 45%, with cross-border transactions comprising 16% of total volume. Despite the U.S. market's share of global e-commerce, Shopify's revenue is still significantly weighted towards the U.S., indicating vast international upside potential.
Stifel commends Shopify's disciplined operating model and capital allocation, which provide flexibility in the evolving agentic commerce landscape as it transitions from infancy to scale.
