Shopify stock: buy or sell
Updated on:
Apr 16th, 2021
1
Shopify stock brief
- Shopify stock went up 2.41% to close at $1,208.34 on the stock market on Thursday.
- Evercore ISI published a hold rating for Shopify last Tuesday, with a target of $1,360.00
- Shopify Inc., a commerce company, provides a commerce platform and services in Canada, the United States, the United Kingdom, Australia, Latin America, and internationally.
Should I buy Shopify stock?
All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $SHOP stock a buy?
Currently, Shopify stock doesn't match any of these trading strategies, so our recommendation is not to buy now. This doesn't mean $SHOP will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems
Should I sell Shopify stock?
When is it time to sell Shopify?. In the same way as when we have to buy shares, deciding when is appropiate to sell is not a whimsical decision, and we must follow our own trading style. We like very simple setups to guide us on when is a good time to sell a stock. Be aware that these setups should not be used for shorting Shopify stock
A guiding principle is that you must never keep a trading operation that shows a greater losses than those expected upon purchase. When to sell shares must always be dictated by the stop-loss (automatic or manual)
Is it time to sell Shopify stock?
Currently, Shopify stock doesn't match any of our preferred sell setups, so if you own Shopify shares and your operation is in profit probably is not time to sell now
Shopify ratings
In the last 30 days, 5 ratings were published for Shopify
| Brokerage firm | Rating |
|---|---|
| Mar 31st, 2021 | |
| Stifel Nicolaus | |
| Wolfe Research | Buy |
| Apr 5th, 2021 | |
| Credit Suisse Group | Neutral |
| Evercore ISI | Neutral |
| Apr 13th, 2021 | |
| Evercore ISI | Neutral |
Shopify stock analysis
SMAs overview
Supports and resistances
The current resistances are:
The current support levels are:
Bollinger bands
Since the price surpassed the upper band on April 9, the price dropped by 2.12%
Relative strength index
The RSI dropped below the overbought level of 70 last February after just crossing to the overbough zone for a single day (weak signal). The RSI reading on Thursday was 54.3. Since RSI lost the overbought zone, Shopify shares tanked a 18.02%
Shopify stock price history
Shopify started trading priced at an adjusted price1 of $28.00 on May 2015. Since then, SHOP stock has risen by 4,215.50%, with an average of 843.10% per year. If you had invested $1,000USD in Shopify stock on the IPO, it would worth $43,155.00 today.
1: Adjusted price after possible price splits or reverse-splits
Price target for Shopify stock
How much a stock will be priced tomorrow or next week is quite unpredictable. However, many stock price forecasts are published every day by banks, financial institutions and independent analysts.
Along with buy or sell recommendations, financial institutions release their price predictions based on the stock price action and the company fundamental data. Most of these predictions follow the release of new financial information by the company, and many times. Again, these targets are not direct recommendations for small investors and must not be followed blindly.
The average price target for Shopify stock calculated from the table below is $1,317.50. Shopify closed at $1,208.34 on Thursday, so the target price is forecasting an increase by 9.03%.
| Brokerage firm | Price target |
|---|---|
| Mar 31st, 2021 | |
| Stifel Nicolaus | $1,200.00 |
| Wolfe Research | Not available |
| Apr 5th, 2021 | |
| Credit Suisse Group | $1,350.00 |
| Evercore ISI | $1,360.00 |
| Apr 13th, 2021 | |
| Evercore ISI | $1,360.00 |
Earnings and financials
Last February, Shopify Inc. ($SHOP) posted adjusted EPS for that significantly surpassed analysts' expectations. Quarterly EPS was $1.58 per share versus the estimated $1.25. This Q4 report represents an earnings surprise of 26.40%. Turnover was $977.7 million compared to $327.5 million forecasted by analysts.
This compares to Earnings of $0.43 per share a year ago, so reported EPS is an improvement of 267.44%. Looking at sales, figures exploded a 93.55% compared to $5.1B year over year.Shopify ($SHOP) presents earnings report early next May. Wall Street analysts estimate of $0.71, that is a 55.06% less than previous quarter.
Shopify performance
| Company | 1m | 3m | 6m |
|---|---|---|---|
| Shopify ($SHOP) | 7.70% | -1.70% | 8.80% |
Disclaimer:
The viewpoints published in this article are personal and should not be followed as recommendations for you to buy or sell shares. The author of this text does not have any knowledge of the individual conditions of the reader, his or her own financial statements or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Thoughts are expressed for general educational reasons onlyShopify summary
| Thursday, April 15th, 2021 | |
|---|---|
| Open | $1200 |
| Close | $1208.34 |
| Day range | $1187 - $1221.97 |
| Previous close | $1179.86 |
| Session gain | 2.41% |
| Average true range | $65.15 |
| 50d mov avg | $1,224.55 |
| 100d mov avg | $1,173.84 |
| 200d mov avg | $1,086.17 |
| Earnings date | May 5th, 2021 |