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Shopify (SHOP) Outpaces Stock Market Gains: What You Should Know
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Shopify (SHOP - Free Report) closed the most recent trading day at $66.71, moving +0.33% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.18%. Elsewhere, the Dow gained 0.33%, while the tech-heavy Nasdaq lost 0.02%.
Prior to today's trading, shares of the cloud-based commerce company had gained 12.62% over the past month. This has outpaced the Computer and Technology sector's loss of 1.62% and the S&P 500's loss of 1.63% in that time.
Shopify will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.09, up 550% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.64 billion, up 20.15% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.33 per share and revenue of $6.86 billion. These totals would mark changes of +725% and +22.42%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Shopify. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Shopify is currently a Zacks Rank #4 (Sell).
Looking at its valuation, Shopify is holding a Forward P/E ratio of 179.9. Its industry sports an average Forward P/E of 31.64, so we one might conclude that Shopify is trading at a premium comparatively.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 105, putting it in the top 42% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Shopify (SHOP) Outpaces Stock Market Gains: What You Should Know
Shopify (SHOP - Free Report) closed the most recent trading day at $66.71, moving +0.33% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.18%. Elsewhere, the Dow gained 0.33%, while the tech-heavy Nasdaq lost 0.02%.
Prior to today's trading, shares of the cloud-based commerce company had gained 12.62% over the past month. This has outpaced the Computer and Technology sector's loss of 1.62% and the S&P 500's loss of 1.63% in that time.
Shopify will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.09, up 550% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.64 billion, up 20.15% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.33 per share and revenue of $6.86 billion. These totals would mark changes of +725% and +22.42%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Shopify. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Shopify is currently a Zacks Rank #4 (Sell).
Looking at its valuation, Shopify is holding a Forward P/E ratio of 179.9. Its industry sports an average Forward P/E of 31.64, so we one might conclude that Shopify is trading at a premium comparatively.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 105, putting it in the top 42% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.