Shopify stock price target raised to $185 from $135 at Citizens JMP

Investing.com - Citizens JMP raised its price target on Shopify (NASDAQ:SHOP) to $185.00 from $135.00 on Thursday, maintaining a Market Outperform rating following the company’s second-quarter results. The stock, currently trading at $154.90, has surged nearly 143% over the past year and is approaching its 52-week high of $156.39. According to InvestingPro analysis, the stock appears overvalued at current levels.

The e-commerce platform reported accelerating growth in the second quarter of 2025, with GMV excluding foreign exchange effects growing 29% year-over-year, a four-point acceleration from the previous quarter.

Revenue excluding foreign exchange effects increased 30% year-over-year, accelerating two points as Shopify continues to gain market share among enterprise accounts amid a healthy macroeconomic environment.

Citizens JMP noted that Shopify’s competitive position is strengthening through new features like checkout kit for AI agents, improvements to existing products such as multi-entity support in Shopify Payments, and expanded global reach.

The firm highlighted Shopify’s differentiated products including Shop Pay, Shop Campaigns, and the Shop App, which benefit from the company’s scale and provide unique value to merchants, while also pointing to disciplined headcount growth that could lead to stronger incremental margins in the second half of 2025 and into 2026.

In other recent news, Shopify has been the focus of several analyst updates and strategic developments. Benchmark has raised its price target for Shopify to $140, maintaining a Buy rating due to a lower weighted average cost of capital and positive revisions to future estimates. Meanwhile, UBS reiterated its Neutral rating with a $110 price target, acknowledging Shopify’s growth beyond its initial focus into areas like Enterprise, International, and In-store Point of Sale. Citizens JMP also reaffirmed its Market Outperform rating with a $135 price target, citing improved product discoverability for consumers.

Additionally, Shopify has entered a new partnership with WEBUY GLOBAL, integrating WEBUY’s group-buying platform with Shopify’s merchant network. This collaboration is expected to expand WEBUY’s reach to a broader range of online retailers. These developments highlight Shopify’s ongoing expansion and strategic positioning in the e-commerce landscape.

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