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Added to YB: 2025-07-16

Pitch date: 2025-07-14

SHOP [bullish]

Shopify Inc.

+40.35%

current return

Author Info

Compounding Your Wealth dives into detailed analyses of earnings reports, shares transparent reviews, and cultivates a long-term mindset essential for understanding company fundamentals, business models, and diverse investment styles. My goal is to nurture a multibagger portfolio by focusing on growth companies, adopting a long-term perspective, and employing a systematic, process-driven approach. Sign up for the newsletter.

Company Info

Shopify Inc., a commerce technology company, provides tools to start, scale, market, and run a business of various sizes in Canada, the United States, Europe, the Middle East, Africa, the Asia Pacific, and Latin America.

Market Cap

$206.2B

Pitch Price

$116.99

Price Target

N/A

Dividend

N/A

EV/EBITDA

119.82

P/E

116.87

EV/Sales

18.73

Sector

IT Services

Category

growth

Show full summary:
Shopify: Scaling E-Commerce with Innovation, Moat, and Massive TAM

SHOP: Leading e-commerce platform with 10.3% global market share & 29% US share. TAM $849B with only 2% penetration. Q1 revenue +26.8% YoY, operating margins improved 10.8%→13.9%. Strong moat via switching costs, scale & brand. Valuation premium (76.7x P/E) justified by growth in subscription (+21.3%) & merchant solutions (+29%) segments.

Read full article (14 min)