Income Investing Insider
  • Economy
  • Business
  • Investing
  • Stock
No Result
View All Result
  • Economy
  • Business
  • Investing
  • Stock
No Result
View All Result
Income Investing Insider
No Result
View All Result
Home Stock

Shopify shares rise 4% after TD Cowen increases target price

October 4, 2025
in Stock
Shopify shares rise 4% after TD Cowen increases target price

Shopify Inc. (NYSE: SHOP) saw its shares rise sharply on Friday morning after TD Cowen resumed coverage of the e-commerce platform and raised its price target.

Shopify shares traded 5.2% higher in New York at $159.18.

TD Cowen analyst Daniel Chan highlighted Shopify’s strong growth trajectory and opportunities for international expansion.

The bank restarted coverage of the stock with a Hold rating, but updated its price target to $156 from a previous $130, signaling confidence in the company’s continued performance.

Strong international performance

Chan pointed to Shopify’s performance in Europe as a key driver of growth.

Gross merchandise volume (GMV) in the region grew 42% in the second quarter, implying gains in market share.

“Shopify’s execution across Europe has been exceptional,” Chan said, adding that the momentum is expected to persist in the midterm as Shopify’s presence in these markets is still early-stage.

The analyst also noted that Shopify’s platform-agnostic approach to artificial intelligence (AI) could help it adapt to changes in consumer behavior.

Recent partnerships with OpenAI, which allow retailers to leverage AI tools to engage customers, position the company to maintain leadership in evolving e-commerce environments.

“It is Shopify’s market leadership and platform-agnostic approach to AI that we believe will allow it to adapt and maintain leadership should consumers change buying behavior,” Chan said.

Valuation and market expectations

Despite the optimistic outlook, Chan cautioned that macroeconomic risks remain a factor that could influence performance.

The market has already priced in 25% revenue growth and a free cash flow margin of 26% by 2033.

“While this implies the market is assuming Shopify can grow at the top end of the software leader’s peer group rate, achieving this financial performance would only imply that the shares are fairly valued,” the analyst noted.

Shopify’s recent stock performance reflects strong investor confidence.

The shares reached a new 52-week high of $160.96, giving the company a market capitalization of $206.9 billion.

The stock has delivered a one-year return of 104%, underscoring the market’s positive view of Shopify’s growth initiatives and strategic positioning.

Financial performance and market position

Shopify has demonstrated robust financial health, with revenue growth of 29% and a strong overall financial rating.

Analysts’ price targets for the stock range from $118 to $200, reflecting varying expectations for the company’s near-term growth.

The stock’s price-to-earnings (P/E) ratio currently stands at 84.14, highlighting high investor expectations for future profitability.

The company’s ability to capitalize on AI tools, maintain strong international growth, and leverage its market leadership are seen as key factors underpinning its performance.

While macroeconomic uncertainties could temper growth, Shopify’s strategic initiatives, expanding global footprint, and financial resilience continue to make it a notable player in the e-commerce sector.

With momentum building in both North American and European markets, Shopify remains on the radar of investors looking for exposure to a high-growth e-commerce platform with global ambitions.

The post Shopify shares rise 4% after TD Cowen increases target price appeared first on Invezz

Previous Post

Alibaba, SMIC lead China’s AI-driven market revival, but worries of overheating linger

Next Post

Ben & Jerry’s co-founder resigns, claiming parent company Unilever ‘silenced’ its campaigning

    Join our mailing list to get access to special deals, promotions, and insider information. Your exclusive benefits await! Enjoy personalized recommendations, first dibs on sales, and members-only content that makes you feel like a true VIP. Sign up now and start saving!


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Disclaimer: incomeinvestinginsider.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Recent News

    Lithium Americas stock jumps 30% on Friday: the hidden catalyst is surprising

    Lithium Americas stock jumps 30% on Friday: the hidden catalyst is surprising

    October 5, 2025
    Why USAR stock’s surge on federal stake news could be the right time to sell

    Why USAR stock’s surge on federal stake news could be the right time to sell

    October 5, 2025
    • About us
    • Contacts
    • Privacy Policy
    • Terms and Conditions
    • Email Whitelisting

    Copyright © 2025 incomeinvestinginsider.com | All Rights Reserved

    No Result
    View All Result
    • About us
    • Contacts
    • Email Whitelisting
    • Home 1
    • Privacy Policy
    • Terms and Conditions
    • Thank you

    Copyright © 2025 incomeinvestinginsider.com | All Rights Reserved