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Stocks/Information Technology/Internet Services & Infrastructure

ShopifySHOP

Internet Services & Infrastructure
Solid businessPricier than peers
$157.49−5.63%After hours: $157.18 (−0.20%)At the close, 30 Oct · Prices from CNBC, may be delayed
▼ 12.0% over 1 year
Shopify over 1 yearDaily close, $, to 30 Oct 2026
$100$125$150$175Nov2026MarMayJulSep$157.49$100$150NovMarJul$157.49
Source: Nasdaq daily closes
Market value$203B
Price to earnings106.2x
Forward P/E74.9x
Dividend yield–
Year to date−2.2%
One year−12.0%
Next earningsTue 3 Nov, before the open
SectorInformation Technology
52-week range (closes)
$95.40$179.22

Quality and valuation

How Shopify compares with other information technology stocks. A description, not a recommendation.

Shopify and 5 internet services & infrastructure peers. Across: valuation (P/E) against the sector. Up: business quality against the sector. Hover or tap a logo for its numbers.

Business quality: about averageValuation: pricier than most

An average business among information technology companies, priced above most of them.

Shopify trades at 74.9 times the next 12 months of expected earnings, against a median of 22.2x for the 99 information technology stocks we cover. The quality score blends where it ranks on revenue growth, gross margin, operating margin and free-cash-flow margin (net margin for banks and insurers) over the last 12 months, from SEC filings.

  • Revenue grew faster than the sector median: +32.5% vs +20.6%
  • Keeps less of each sale (gross margin): 47.8% vs 61.5%
  • Less profitable (operating margin): 13.9% vs 17.0%
  • Turns less of its sales into cash: 17.7% vs 21.7%
SHOP trades at 74.9x forward earnings, above the sector medianForward p/e, Internet Services & Infrastructure peers
AKAM14.1xGDDY14.6xVRSN30.0xSHOP74.9xNET190.2xSector median 22.2xAKAM14.1xGDDY14.6xVRSN30.0xSHOP74.9xNET190.2xSector median 22.2x
Source: CNBC quotes; Mostly Markets
At 106.4x earnings, SHOP is pricier than its average since Feb 2025Price over the last 12 months of reported (GAAP) diluted EPS
P/EUsual range (±1 s.d.)
50xAverage 100.3x2026106.4x50xAverage 100.3x2026106.4x
Source: Nasdaq prices; SEC filings

Financials

From Shopify's SEC filings, through the quarter ending 30 Jun 2026. Hover or tap a bar for its value.

Revenue grew 33.7% from a year earlierQuarterly revenue, $bn, latest Q2 ’26
$0bn$1bn$2bn$3bnQ3 ’24Q1 ’25Q3 ’25$3.6bnQ2 ’26$0bn$2bnQ3 ’24Q1 ’25Q3 ’25$3.6bnQ2 ’26
Source: SEC filings
Growth slowed to +33.7% last quarterRevenue growth, year on year, %
0%10%20%30%Q1 ’25Q2 ’25Q3 ’25Q4 ’25Q1 ’2633.7%Q2 ’260%20%Q1 ’25Q2 ’25Q3 ’25Q4 ’25Q1 ’2633.7%Q2 ’26
Source: SEC filings
Operating margin was 13.6% last quarterOperating income as a share of revenue, %
0%5%10%15%Q3 ’24Q1 ’25Q3 ’2513.6%Q2 ’260%10%Q3 ’24Q1 ’25Q3 ’2513.6%Q2 ’26
Source: SEC filings
Free cash flow was $2.4 billion over 12 monthsQuarterly free cash flow (operating cash flow minus capex), $m
$0m$200m$400m$600mQ3 ’24Q1 ’25Q3 ’25$654mQ2 ’26$0m$250m$500mQ3 ’24Q1 ’25Q3 ’25$654mQ2 ’26
Source: SEC filings
Last 12 monthsSHOPSector median
Revenue growth+32.5%+20.6%
Gross margin47.8%61.5%
Operating margin13.9%17.0%
Free cash flow margin17.7%21.7%
Price to earnings106.2x33.1x

Stories on Shopify

Thursday, 29 October
Earnings preview

What to Expect From Shopify's (SHOP) Q3 Earnings

Shopify reports before the open on Tuesday, 3 November. Analysts expect revenue of $3.70 billion to $3.74 billion, at least 30% more than a year ago, after a quarter that sent the stock up 17%.

SHOP▼ 0.8%
An aisle of servers in a data center

Similar companies

Internet Services & Infrastructure, by market value.

CompanyPriceTodayYTDValue
NETCloudflare$280.70−9.54%+42.4%$99.95B
NBISNebius Group$154.14−10.38%+84.1%$41.90B
CRWVCoreWeave$54.87−9.66%−23.4%$30.26B
VRSNVerisign$307.21+0.41%+26.4%$27.56B
GDDYGoDaddy$117.24+10.72%−5.5%$14.85B
AKAMAkamai Technologies$92.72−6.70%+6.3%$13.32B