Shares of Shopify (NYSE:SHOP) fell in after-hours trading after the company reported earnings for its fourth quarter of Fiscal Year 2022. Adjusted earnings per share came in at $0.07, which beat analysts’ consensus estimate of -$0.1 per share.
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Sales increased by 25.4% year-over-year, with revenue hitting $1.73 billion. This beat analysts’ expectations of $1.65 billion. In addition, gross merchandise value was over $60 billion in the fourth quarter. For all of 2022, Shopify saw $197 billion in gross merchandise value.
Looking forward, management now expects revenue for Q1 2023 to be in the “high teens” range, as well as a slightly higher gross profit margin.
Overall, Wall Street has a consensus price target of $44.17 on Shopify, implying 17.19% downside risk, as indicated by the graphic above.
