Capital Research & Management Co.. recently announced the acquisition of new stake in Shopify Inc. (NYSE:SHOP). The institutional investor has increased its shareholding in the Technology company by 21.62% to 5.93 million shares with purchase of 1.05 million shares. This fresh investment now brings its stake to 5.48% valued currently at $6.07 billion. In addition, Morgan Stanley Investment Managem.. raised its holdings by 0.14 million to 4.62 million shares. And Jennison Associates LLC has lifted its position by 11.54% or 0.34 million shares – to 3.3 million shares.
With over 2.08 million Shopify Inc. (SHOP) shares trading Tuesday and a closing price of $1134.32 on the day, the dollar volume was approximately $2.36 billion. The shares have shown a positive weekly performance of 9.36% and its price on 09/01/20 gained nearly 6.37%. Currently, there are 118.74M common shares owned by the public and among those 107.70M shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 33 analysts who have offered their price forecasts for SHOP have a consensus price objective of $1102.24. The analysts have set the share’s price value over the next 12 months at a high of $1400.00 and a low of $450.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Shopify Inc. stock is 2.60 for the next 12 months. The average price target is -3.61% below its last price level and a downside to the estimated low will see the stock lose -152.07% over that period. But an upside of 18.98% will see the stock hit the forecast high price target while mean target price for the stock is $1150.00.
The top 3 mutual fund holders in Shopify Inc. are American Funds EuroPacific Growth, Fidelity Growth Company Fund, and Vanguard Total International Stoc. American Funds EuroPacific Growth owns 2.87 million shares of the company’s stock, all valued at over $2.94 billion. The company bought an additional 0.65 million shares recently to bring their total holdings to about 2.65% of the shares outstanding. Fidelity Growth Company Fund sold 87464.0 shares to see its total holdings shrink to 2.7 million shares valued at over $2.77 billion and representing 2.50% of the shares outstanding. Vanguard Total International Stoc sold 7632.0 shares to bring its total holdings to over 1.78 million shares at a value of $1.82 billion. Vanguard Total International Stoc now owns shares totaling to 1.64% of the shares outstanding.
Shares of Shopify Inc. (NYSE: SHOP) opened at $1,075.00, up $8.58 from a prior closing price of $1066.42. However, the script later closed the day at $1134.32, up 6.37%. The company’s stock has a 5-day price change of 9.36% and 48.86% over the past three months. SHOP shares are trading 185.31% year to date (YTD), with the 12-month market performance up to 195.47% higher. It has a 12-month low price of $282.08 and touched a high of $1115.99 over the same period. Currently, 2.08 million shares have been traded, compared to an average intraday trading volume of 2.42 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 9.77%, 13.61%, and 79.00% respectively.
Institutional ownership of Shopify Inc. (NYSE: SHOP) shares accounts for 72.30% of the company’s 118.74M shares outstanding. Mutual fund holders own 28.45%, while other institutional holders and individual stakeholders account for 38.60% and — respectively.
It has a market capitalization of $137.75B and a beta (3y monthly) value of 1.37. The earnings-per-share (ttm) stands at -$0.61. Price movements for the stock have been influenced by the stock’s volatility, which stands at 4.97% over the week and 4.24% over the month.
Analysts forecast that Shopify Inc. (SHOP) will achieve an EPS of $0.48 for the current quarter, $0.65 for the next quarter and $2.3 for 2021. The lowest estimate earnings-per-share for the quarter is $0.08 while analysts give the company a high EPS estimate of $1.2. Comparatively, EPS for the current quarter was -$0.29 a year ago. Earnings per share for the fiscal year are expected to decrease by -80.80%, and -4.40% over the next financial year.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 33 brokerage firm advisors rate Shopify Inc. (SHOP) as a “Moderate Buy” at a consensus score of 2.60. Specifically, 11 Wall Street analysts polled rate the stock as a buy, while 17 of the 33 advise that investors “hold,” and 2 rated it as a “Sell.”
Looking at the support for the SHOP, a number of firms have released research notes about the stock. Atlantic Equities stated their Overweight rating for the stock in a research note on August 26, 2020, with the firm’s price target at $1150. Rosenblatt coverage for the Shopify Inc. (SHOP) stock in a research note released on July 30, 2020 offered a Buy rating with a price target of $1400. Goldman was of a view on July 28, 2020 that the stock is Buy, while Citigroup gave the stock Neutral rating on July 16, 2020, issuing a price target of $998. Argus on their part issued Buy rating on July 01, 2020.