Stifel raises Shopify stock price target to $150 on strong growth outlook

Published 07/08/2025, 15:48
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Investing.com - Stifel raised its price target on Shopify (NASDAQ:SHOP) to $150.00 from $110.00 on Thursday, while maintaining a Hold rating on the e-commerce platform provider. The stock, currently trading at $154.34, has surged 45.7% year-to-date, with analyst targets ranging from $91 to $185. According to InvestingPro analysis, the stock appears to be trading above its Fair Value.

The price target increase follows Shopify’s shares surging 20% on Wednesday after the company reported results that exceeded expectations for gross merchandise volume (GMV), revenue, and earnings per share.

Shopify also provided a growth outlook in the mid-to-high 20% range for the next quarter, coming in ahead of Wall Street expectations, demonstrating strong momentum despite broader economic concerns.

The company highlighted significant enterprise segment wins during the quarter, securing full platform implementations with major brands including Starbucks (NASDAQ:SBUX), Canada Goose, Burton, and Michael Kors, while also emphasizing its progress in international markets and offline channels.

Despite Stifel’s confidence in Shopify’s near-term growth outlook and strategic execution, the firm maintained its Hold rating, citing the stock’s current valuation at 14.3x FY26 EV/revenue and 78.8x FY26 EV/FCF, which significantly exceeds industry averages of 6.8x and 28.1x respectively.

In other recent news, Shopify’s second-quarter results have prompted several financial firms to adjust their price targets for the company. Truist Securities increased its price target to $150, highlighting a 31% year-over-year growth in both gross merchandise volume and revenue. JPMorgan also raised its target to $179, maintaining an Overweight rating, following a notable rally in Shopify’s shares. DA Davidson set its new target at $185, citing strong execution in Shopify’s long-term growth strategies, such as international expansion. BMO Capital raised its price target to $180, noting the acceleration of Shopify’s gross merchandise volume across multiple regions. Additionally, Loop Capital increased its price target to $155, describing the second-quarter results as "very impressive" due to the sequential acceleration in revenue growth and improved cash flow margins. These developments reflect the positive reception of Shopify’s recent performance and strategic initiatives.

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