Core Viewpoint - The article discusses the reliability of brokerage recommendations, particularly focusing on Shopify (SHOP), and suggests that while the average brokerage recommendation indicates a positive outlook, investors should be cautious and validate these recommendations with other tools like the Zacks Rank [1][3][6]. Brokerage Recommendations - Shopify has an average brokerage recommendation (ABR) of 1.84, which is between Strong Buy and Buy, based on recommendations from 44 brokerage firms [2]. - Out of the 44 recommendations, 25 are Strong Buy and one is Buy, accounting for 56.8% and 2.3% of all recommendations respectively [2]. Limitations of Brokerage Recommendations - Relying solely on brokerage recommendations may not be advisable, as studies indicate they often fail to guide investors effectively towards stocks with high potential for price appreciation [3][4]. - Analysts from brokerage firms tend to exhibit a strong positive bias in their ratings due to vested interests, leading to a disproportionate number of Strong Buy recommendations compared to Strong Sell [4][8]. Zacks Rank as an Alternative - The Zacks Rank, a proprietary stock rating tool, categorizes stocks from Strong Buy to Strong Sell and is based on earnings estimate revisions, making it a more reliable indicator of near-term stock performance [6][9]. - The Zacks Rank is updated more frequently than the ABR, reflecting changes in earnings estimates promptly, which can provide timely insights into future price movements [10]. Current Earnings Outlook for Shopify - The Zacks Consensus Estimate for Shopify's current year earnings has increased by 1.6% over the past month to $1.14, indicating growing analyst optimism [11]. - This increase in consensus estimates has contributed to a Zacks Rank of 2 (Buy) for Shopify, suggesting a favorable investment outlook [12].

When I last covered Shopify, Inc. (NYSE: SHOP ) on October 6th, 2024 with my article " Shopify: I Was Wrong ", the stock was attempting to recover from the major price lows that were printed during the August 5th, 2024Analyst’s Disclosure: I/we have a beneficial long position in the shares of SHOP either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no busin ...

I'm specialized in fundamental equity research, global macro strategy, and top-down portfolio construction. I graduated from UCLA with a degree of Business Economics and UMich Ross School of Business with a Master of Accounting. I'm a senior analyst at a multi-strategy hedge fund. In my opinion, HODL can't generate significant alpha or maintain a high Sharpe ratio over the long run. Seeking Alpha requires active management and minimizing opportunity costs. Investors should understand seeking a high positive ...

The company's platform is resonating with merchants of all sizes.It's been a roller-coaster ride for Shopify (SHOP -5.22%) shares this year, but since the summer, the stock has been on the ascent. After the e-commerce company delivered a strong third-quarter report Tuesday and offered upbeat guidance, its stock hit a new 52-week high. However, the stock is still far below the all-time peak it hit in 2021.With Shopify stock trading up more than 40% year to date as of this writing, it's natural to wonder whet ...

Shopify (SHOP) shares jumped 21% on Nov. 12 after the Canadian e-commerce company posted better-than-expected results for the third quarter and gave an optimistic forecast for the holiday shopping season. Shares of SHOP gained another 5.7% on Nov. 13 as investors’ optimism continued.The stock has a Zacks Rank #2 (Buy). SHOP shares belong to top-ranked (top 25%) Zacks Internet - Services industry and top-ranked (top 13%) Zacks Computer and Technology sector. SHOP’s earnings beat the Zacks Consensus Estimate ...

Shopify TodaySHOPShopify$115.13 +6.21 (+5.70%) 52-Week Range$48.56▼$115.62P/E Ratio107.60Price Target$94.95Add to WatchlistShopify’s NYSE: SHOP stock price action soared following the Q3 release because the results were good, more than good, showing the company's building momentum as it established itself as the go-to source for B2B eCommerce needs. Its unified, AI-enabled platform is gaining traction with businesses of all sizes, leading to four things investors like to hear: outperformance, accelerated p ...

Shopify (SHOP 5.67%) is accelerating revenue growth and has ambitions to take a larger share of the e-commerce market.*Stock prices used were the afternoon prices of Nov. 11, 2024. The video was published on Nov. 13, 2024. ...

Vladimir Dimitrov, CFA is a former strategy consultant within the field of brand and intangible assets valuation. During his career in the City of London he has been working with some of the largest global brands within the technology, telecom and banking sectors.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. ...

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Shopify Inc SHOP shares were climbing on Wednesday after the company reported upbeat third-quarter earnings.The company reported its results amid an exciting earnings season. Here are some key analyst takeaways.JPMorgan On ShopifyAnalyst Reginald Smith reiterated an Overweight rating while raising the price target from $76 to $121.Shopify delivered a "big FCF margin beat," Smith said. Free cash flows of $421 million coming in higher than consensus of $340 million and FCF margin of 19.5% coming in around 350 ...