GuruFocus News
09/08/2026 13:31
Shopify SHOP Analyst Rating Update
On September 8, 2026, Piper Sandler reiterated an Overweight rating on Shopify (SHOP) and raised the price target from $172.00 to $180.00, reflecting a 4.65% change.
- GF Value™ verdict: 11.6% undervalued (Current Price: $134.84 vs GF Value™: $152.57)
- GF Score™: 85/100, indicating strong overall performance
- Financial Strength: 8/10, suggesting a solid balance sheet
What’s Behind the Analyst Rating?
The recent rating update from Piper Sandler highlights a growing confidence in Shopify’s potential to capitalize on the expanding e-commerce market. The increase in the price target to $180.00 signals that analysts believe the company is well-positioned for future growth, especially as more businesses shift to online platforms. This positive sentiment is further supported by a series of recent upgrades from other analysts, indicating a consensus that Shopify’s stock is a strong investment opportunity.
Shopify Inc. operates in the technology sector, specifically within the software industry, providing a comprehensive e-commerce platform primarily aimed at small and medium-sized businesses. With a market capitalization of approximately $173.49 billion, Shopify offers solutions that allow merchants to conduct e-commerce across various channels, including websites, physical stores, and social media platforms. This versatility makes Shopify a key player in the rapidly evolving digital commerce landscape.
Is SHOP Overvalued or Undervalued?
According to GuruFocus, Shopify’s GF Value™ is currently set at $152.57, while its current trading price is $134.84. This indicates that the stock is 11.6% undervalued, providing a margin of safety for potential investors. The price-to-earnings (P/E) ratio based on trailing twelve months (TTM) earnings stands at 91.11x, which is higher than its 5-year median P/E of 83.49x. This suggests that while the stock is undervalued based on GF Value™, it is trading at a premium compared to historical earnings multiples. For more insights, visit the GF Value™ page.
What Does SHOP’s GF Score™ Tell Us?
The GF Score™ is a comprehensive measure of a company’s financial health and growth potential, taking into account various factors such as profitability, growth, valuation, and momentum. Shopify’s GF Score™ of 85/100 reflects its strong performance across several key metrics, particularly in growth and valuation. The company ranks particularly well in growth (9/10) and valuation (9/10), indicating robust growth prospects and a favorable valuation relative to its peers.
| Metric | Rating |
|---|---|
| GF Score™ | 85 |
| Financial Strength | 8 |
| Profitability | 5 |
| Growth | 9 |
| Valuation | 9 |
| Momentum | 7 |
Shopify’s strengths lie in its growth potential and valuation metrics, while its profitability rank of 5/10 suggests there is room for improvement in that area. Overall, the company’s strong GF Score™ indicates a solid investment opportunity. For a deeper dive, check out the SHOP stock page.
What Are Gurus and Insiders Doing with SHOP?
Currently, 11 gurus hold shares of Shopify, with 4 adding to their positions and 7 trimming their holdings in recent quarters. This mixed activity reflects a cautious but generally positive sentiment among institutional investors. Notably, there has been no insider buying or selling activity reported in the last three months, which may indicate a stable outlook from the company’s executives.
What This Means for Investors
The recent analyst rating and positive adjustments from multiple firms suggest that Shopify is a compelling investment opportunity, especially given its undervaluation relative to GF Value™. With a strong GF Score™ and solid financial strength, investors may find Shopify to be a valuable addition to their portfolios. For more detailed information, visit the SHOP stock page.
Frequently Asked Questions
What is SHOP’s GF Score™?
SHOP’s GF Score™ is 85/100, indicating strong overall performance and financial health.
SHOP is currently undervalued by 11.6% based on its GF Value™, suggesting a margin of safety for investors.
What do analysts recommend for SHOP?
Analysts have a positive outlook on SHOP, with Piper Sandler reiterating an Overweight rating and raising the price target to $180.00.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Disclosures
I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.
