Shopify's revenue growth has moderated from roughly 33.7% in 2026Q2 to 31.6% in 2026Q3 but remains strong on a larger base, while gross margin has held near 47.6% and operating margin improved to 15.2%, suggesting the core commerce platform is scaling profitably.
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue growth of 31.6% in 2026Q3 and a 47.6% gross margin alongside operating margin expansion from 8.6% in 2025Q1 to 15.2% in 2026Q3 suggest operating income is scaling faster than revenue, though volatile net margins from -18.3% to 41.9% indicate non-operating items dominate GAAP results.
Shopify continues to be a dominant e-commerce platform, powering millions of businesses globally with essential infrastructure for online retail.
The company is actively integrating AI into its platform, with tools like Store Builder and Sidekick, and co-developed the Universal Commerce Protocol with Google.
Shopify's expansion of Shopify Payments to new countries and increased GPV penetration are positive indicators.
Some analyses suggest Shopify's stock may still be overvalued based on traditional metrics like P/E ratios and price-to-sales multiples.
Structural gross margin pressure is a concern due to a shift towards lower-margin Merchant Solutions revenues and increased penetration of Shopify Payments.
Tariff-related uncertainties and softening consumer spending are cited as significant headwinds impacting smaller merchants and overall demand.
Trailing total returns as of 11/7/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q4 2026Latest Nov 3, 2026 | $0.49+6.2% vs $0.46 | $3.7B-0.6% vs $3.7B |
Q3 2026 Aug 5, 2026 | $0.42+5.7% vs $0.40 | $3.5B+4.2% vs $3.4B |
Q2 2026 May 5, 2026 | $0.36+10.4% vs $0.33 | $3.1B+1.4% vs $3.1B |
Q1 2026 Feb 11, 2026 | $0.46-9.1% vs $0.51 | $3.6B+1.0% vs $3.6B |
Shopify is helping its merchants thrive, with AI-driven orders surging in 2026. Duolingo is seeing accelerating daily user growth as it targets 1 billion users over the long term.
Shopify delivered a decent Q3, beating earnings expectations amid robust growth in Merchant Solutions and strong e-Commerce spending trends. SHOP's business model combines recurring subscription revenues with variable transaction fees, supporting robust 32% year-over-year total revenue growth and expanding free cash flow margins. Shares currently trade at a 58.7x forward P/E, with a fair value estimate of ~$160 per share, implying 11% upside.
Despite a slight miss, Shopify's growth remains consistent. The stock is starting to look attractively valued after this dip.
The best mutual funds place massive bets on Microsoft, Palantir and Apple. But that's just the start.
Benchmark SHOP against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for Shopify Inc. (SHOP)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $148.91 | $193.23B | 158.41 | 30.14% | 10.65% | 9.84% | — | |
| $76.09 | $3.99B | 86.47 | 13.2% | -8.19% | — | — | |
| $114.38 | $15.15B | 18.36 | 8.26% | 18.56% | 1200.87% | — | |
| $58.12 | $13.66B | 36.33 | 10.78% | 12.02% | 17.63% | — | |
| $59.24 | $52.26B | 10.95 | 4.19% | 13.94% | 23.76% | 0.23% | |
| $52.41 | $5.22B | -476.45 | 13.03% | -0.68% | -0.3% | — |
Shopify Inc. (SHOP) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
Shopify Inc. (SHOP) SEC filings — annual & quarterly reports (10-K, 10-Q)
Nov 3, 2026·SEC
Aug 5, 2026·SEC
Jul 2, 2026·SEC
Get notified when SHOP posts new earnings or crosses analyst targets
Free. No account needed. Unsubscribe any time.
Shopify Inc. (SHOP) stock FAQ — growth, dividends, profitability & financials explained
Shopify Inc. (SHOP) reported $14.17B in revenue over the trailing twelve months. Revenue was $11.56B in fiscal year 2025. That is 22896% more than the $50.3M of fiscal year 2013.
Shopify Inc. (SHOP) grew revenue by 30.1% in fiscal year 2025, compared with the prior fiscal year.
Yes. Shopify Inc. (SHOP) earned $2.13B in net income over the trailing twelve months (a 15.0% net margin).
Shopify Inc. (SHOP) had a return on equity (ROE) of 9.8% in fiscal year 2025. That is below the market's typical 10-15%.
Shopify Inc. (SHOP) generated $2.66B in free cash flow over the trailing twelve months.
