E-commerce platform Shopify (SHOP) is scheduled to announce its third-quarter results on November 12. Analysts expect the company’s Q3 earnings per share (EPS) to rise 12.5% year-to-over to $0.27. Revenue is expected to grow about 25% to $2.14 billion. SHOP stock has risen 17% year-to-date, mainly due to the company’s improving financials.
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Shopify has exceeded analysts’ earnings expectations for eight consecutive quarters. In particular, the company impressed investors with its stellar Q2 performance amid macro challenges. The company’s revenue grew 21% to $2 billion, while adjusted EPS jumped to $0.26 from $0.14 in the prior-year quarter. Results reflected solid demand for the company’s platform and its services like payment processing.
Analysts’ Views on SHOP Stock
Ahead of Q3 earnings, Benchmark analyst Mark Zgutowicz stated that he expects SHOP’s heightened marketing spend in the first half to remain elevated in the remainder of the year, supporting sequential Q3 and Q4 MRR (monthly recurring revenue) growth.
Looking ahead, the analyst expects Shopify’s Enterprise business to be a more prominent revenue contributor in 2026 compared to 2025. He also expects the company’s B2B progression to remain slow but steady, significantly lagging that of Enterprise. Zgutowicz reiterated a Hold rating on Shopify stock due to valuation concerns.
Meanwhile, Citi analyst Tyler Radke remains bullish on SHOP stock and recently reaffirmed a Buy rating on the stock with a price target of $103. The analyst is confident about the company’s strong GMV despite mixed e-commerce trends, given positive indicators from peers and historical seasonal trends. Radke’s optimism about Shopify is also backed by the company’s consistent revenue growth over the past quarters and its focus on key initiatives to strengthen Enterprise and international businesses.
Favorable Website Traffic Trends
Aside from Wall Street’s estimates, website traffic visits, indicated by TipRanks’ Website Traffic Tool, also reflect favorable trends for Shopify. This tool helps gain insights into a company’s upcoming results by providing data on visits to its online channels over a specific time frame.
TipRanks’ Website Traffic Tool shows that visits on shopify.com increased about 12% year-over-year and 9.9% sequentially in Q3. The rise in website traffic bodes well for Shopify’s top-line growth.
Is Shopify Stock a Buy, Sell, or Hold?
With 23 Buys and 11 Holds, Shopify stock has a Moderate Buy consensus rating. The average SHOP stock price target of $79.08 implies about 13% upside potential.
