Shopify TodaySHOPShopify$63.87 +9.65 (+17.80%) 52-Week Range$45.50▼$91.57Price Target$76.78Add to WatchlistShopify’s (NYSE: SHOP) Q2 results prove it can navigate and thrive in a challenging environment. Highlights include outperformance in every metric, robust cash and free cash flow, and an outlook for market-beating growth and margin over the coming year. The net result is that the stock price is up 25% on the news and still has at least 15% upside forecasted. The critical takeaway is that this company i ...

Key TakeawaysShopify said it expects low-to-mid-20s-percent revenue growth in the current quarter, above analysts' projections.The company, which provides technological infrastructure for online merchants, swung to a second-quarter profit of $171 million from a loss of $1.31 billion a year ago.Shopify shares soared 20% in intraday trading Wednesday. Shopify (SHOP) stock surged Wednesday after the e-commerce merchant technology company delivered second-quarter results that surpassed analysts' expectations, a ...

Shopify impressed in its latest quarterly earnings report.Shares of Shopify (SHOP 22.32%) surged today after the e-commerce software leader posted strong results in its second-quarter earnings report. The company beat estimates on the top and bottom lines and called for accelerating revenue growth in the third quarter.As a result, the stock was up 22.9% as of 11:41 a.m. ET. Shopify gets a perfect scoreShopify has been highly volatile since the end of the pandemic, and the stock has a history of swinging on ...

Q2 2024 Financial Results August 7, 2024 Advisories This presentation contains forward-looking statements that are based on our management's current estimates, beliefs and assumptions, which are based on management's perception of historic trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. Although we believe that the plans, intentions, expectations, assumptions and strategies reflected in these forward-looking stat ...

Financial Data and Key Metrics Changes - In Q2 2024, Shopify reported a GMV of $67.2 billion, representing a 22% year-over-year increase, driven by same-store sales growth and new merchant acquisition, particularly in Europe where GMV grew by 32% [27][28] - Revenue for Q2 was $2 billion, up 21% year-over-year, equating to 25% growth when excluding logistics, marking the fifth consecutive quarter of over 25% growth in this category [29][30] - Free cash flow for Q2 was $333 million, or 16% of revenue, more than doubling from 6% in Q2 2023, attributed to stronger GMV and lower operating expenses [40][46] Business Line Data and Key Metrics Changes - Merchant Solutions revenue was $1.5 billion, increasing 19% year-over-year, driven by GMV growth and Shopify Payments penetration [30] - Subscription Solutions revenue reached $563 million, up 27% year-over-year, primarily due to an increase in the number of merchants on the platform [32] - Monthly Recurring Revenue (MRR) was $169 million, up 25% year-over-year, with growth across Standard, Plus, and offline point-of-sale segments [33] Market Data and Key Metrics Changes - International GMV growth outpaced North America, increasing by 27% year-over-year, with notable growth in Europe at 32% [17][28] - Cross-border sales accounted for approximately 14% of GMV in Q2, with merchants eager to reach new regions [13] - Shopify Payments penetration was 61% in Q2, up from 58% in the same quarter last year, indicating increased adoption among merchants [31] Company Strategy and Development Direction - Shopify's strategy focuses on unifying its platform to reduce complexity for merchants, enhancing features for cross-border selling, B2B commerce, and offline sales [7][10] - The company aims to expand its total addressable market by enhancing its B2B offerings and improving the user experience for international merchants [12][18] - Shopify is committed to sustainable growth and profitability, positioning itself as a leading enabler of global commerce [25] Management's Comments on Operating Environment and Future Outlook - Management noted a consistent operating environment with no significant deterioration in consumer spending, emphasizing that Shopify is gaining market share [65][66] - The company expects Q3 revenue growth to be in the low to mid-20s percentage range, driven by ongoing strength in GMV and subscription solutions [42] - Management highlighted the importance of data-driven decision-making in optimizing marketing spend and enhancing merchant acquisition [21][54] Other Important Information - Shopify processed $41 billion of GMV through Shopify Payments in Q2, a 30% increase year-over-year [31] - The company made three small acquisitions aimed at enhancing merchant capabilities, although these were not material to financials [41] - Operating expenses for Q2 were $804 million, with a year-over-year increase of 5%, reflecting strategic investments in marketing and enterprise growth [36][38] Q&A Session Summary Question: Can you elaborate on MRR growth and the types of merchants being added? - Management indicated strong merchant additions across various geographies and sizes, attributing success to both marketing efforts and shortened paid trials [48] Question: What is the outlook for take rate and attach rate going forward? - Management expressed confidence in improving attach rates due to increased payments penetration and product adoption, while noting variability based on market conditions [51] Question: How is Shopify optimizing marketing spend? - Management emphasized a data-driven approach to marketing, focusing on maximizing returns and experimenting with new channels to drive growth [53][54] Question: What milestones can be expected in the enterprise market? - Management highlighted ongoing traction in the enterprise segment, with a diverse product mix and successful marketing strategies driving growth [57] Question: How should we think about the yield in Shopify Payments as the business expands? - Management noted that while margins may be lower initially, the adoption of Shopify Payments often leads to increased uptake of other solutions, enhancing overall profitability [59][62] Question: What is the outlook for consumer spending trends? - Management reported no significant changes in consumer spending patterns, indicating that Shopify's diverse merchant base is performing well across various verticals [65][66]

For the quarter ended June 2024, Shopify (SHOP) reported revenue of $2.05 billion, up 20.7% over the same period last year. EPS came in at $0.26, compared to $0.14 in the year-ago quarter.The reported revenue represents a surprise of +2.03% over the Zacks Consensus Estimate of $2 billion. With the consensus EPS estimate being $0.20, the EPS surprise was +30.00%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations ...

The Shopify logo is pictured outside the The Well building on Spadina Ave. in Toronto.Shares of Shopify popped as much as 22% in early trading on Wednesday after the Canadian e-commerce company topped expectations for the second quarter, citing strong demand despite "a mixed consumer spend environment."Here's how the company did:Earnings: 26 cents per share vs. 20 cents per share expected by LSEGRevenue: $2.05 billion vs. $2.01 billion expected by LSEGThe company said gross merchandise volume, or the total ...

Shopify (SHOP) came out with quarterly earnings of $0.26 per share, beating the Zacks Consensus Estimate of $0.20 per share. This compares to earnings of $0.14 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 30%. A quarter ago, it was expected that this cloud-based commerce company would post earnings of $0.16 per share when it actually produced earnings of $0.20, delivering a surprise of 25%.Over the last four quarters, the c ...

Shopify stock is up 17% after the company reported Q2 earnings.In today's video, I will talk about Shopify's (SHOP 3.75%) second-quarter earnings report. Check out the short video to learn more, consider subscribing, and click the special offer link below.*Stock prices used were from the trading day of Aug. 6, 2024. The video was published on Aug. 7, 2024. ...

About this content About Ian Lyall Ian Lyall, a seasoned journalist and editor, brings over three decades of experience to his role as Managing Editor at Proactive. Overseeing Proactive's editorial and broadcast operations across six offices on three continents, Ian is responsible for quality control, editorial policy, and content production. He directs the creation of 50,000 pieces of real-time news, feature articles, and filmed interviews annually. Prior to Proactive, Ian helped lead the business outpu ...