Shopify price target raised to $150 from $130 at DA Davidson

DA Davidson raised the firm’s price target on Shopify (SHOP) to $150 from $130 and keeps a Buy rating on the shares after its Q4 results and guidance. The company closed the year with strong top line growth exceeding projections and with notable operating margin expansion, but the management gave a lighter than expected Q1 profitability outlook and a growth guide that brackets consensus resulting in shares trading flat after the print, the analyst tells investors in a research note. Longer term, the company provides undervalued growth prospects over the long term with significant profitability potential relative to current levels, the firm added.