Shopify (SHOP) Beats Stock Market Upswing: What Investors Need to Know

Company Performance - Shopify's stock closed at $167.93, reflecting a 2.1% increase from the previous trading session, outperforming the S&P 500's gain of 0.16% [1] - Over the past month, Shopify's stock has increased by 0.18%, while the Computer and Technology sector has seen a decline of 0.85% [1] Upcoming Earnings Report - Analysts expect Shopify to report earnings of $0.5 per share, representing a year-over-year growth of 13.64% [2] - The consensus estimate for revenue is $3.58 billion, indicating a 27.33% increase from the same quarter last year [2] Annual Forecast - Zacks Consensus Estimates project earnings of $1.45 per share and revenue of $11.46 billion for the year, reflecting changes of +11.54% in earnings and 0% in revenue compared to the previous year [3] Analyst Estimates and Stock Performance - Recent changes in analyst estimates are crucial for investors, as positive revisions indicate optimism regarding Shopify's business and profitability [3] - The Zacks Rank system, which incorporates estimate changes, provides actionable ratings for stocks [4] Zacks Rank and Valuation - Shopify currently holds a Zacks Rank of 4 (Sell), with a 0.4% decrease in the consensus EPS estimate over the last 30 days [5] - The company is trading at a Forward P/E ratio of 93.19, significantly higher than the industry average of 17.85 [5] PEG Ratio and Industry Context - Shopify has a PEG ratio of 3.77, compared to the industry average PEG ratio of 1.74 [6] - The Internet - Services industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 51, placing it in the top 21% of over 250 industries [6]