Shopify Inc
NASDAQ:SHOP
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Shopify Inc
NASDAQ:SHOP
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CA |
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Teleperformance SE
F:RCF
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FR |
Intrinsic Value
The intrinsic value of Shopify Inc (SHOP) under the Base Case is 122.84 USD per share.
Compared with the current market price of 148.81 USD, the stock appears
Overvalued by 17% .
The intrinsic value is calculated using the DCF method. The model assumes Shopify's net margin rises from 11% last year to 16% in 2026 before gradually easing. If its margin stayed at its five-year average of 7.3%, the estimate would be about $110. Margins affect only the forecast years; the value of the years after 2036 is based on revenue.
Do our valuations actually work? See backtest results .
Cheap or expensive for this stock?
This block shows whether today’s valuation is cheap or expensive compared with the stock’s own history, and what happened after similar valuations in the past.
We compare the gap between the stock’s price and our estimated value over time.
- Undervalued can still be historically expensive. The stock may trade below our estimated value, but usually offer an even bigger discount.
- Overvalued can still be historically cheap. The stock may trade above our estimated value, but usually carry an even higher premium.
Market expectations can differ from our model, which may not fully capture everything affecting the price. That is why some stocks regularly trade above our estimated value and others below it.
The scale and chart show how today’s valuation compares with the past. The cards summarize past returns and waiting times until the stock stopped being cheap or expensive. This can happen because the price changed, our estimated value changed, or both.
Only completed periods are included. These are past results, not forecasts. The usual historical range does not necessarily mean fair value.
Fundamental Analysis
What Shopify Does
Shopify is a software company that helps businesses build and run online stores. Merchants use its tools to set up websites, manage products and orders, accept payments, and handle shipping and customer service. It also supports in-person selling, so a business can use one system across web, mobile, and physical stores.
- Headquarters
- Canada CA
- Employees
- 7 600
- IPO date
- May 21, 2015
Shopify has a narrow economic moat
Rebuilding a store’s daily operations on another platform takes time and money, especially when a merchant relies on Shopify-specific apps and custom features. Shopify also attracts developers who add useful tools, giving merchants more reasons to choose and stay with the platform.
Read the full moat analysis
Revenue & Expenses Breakdown
Shopify Inc
Earnings Waterfall
Shopify Inc
The intrinsic value for Shopify Inc (SHOP) under the Base Case is 122.84 USD.
Compared with the current market price of 148.81 USD, the stock appears Overvalued by 17% .
