Yahoo Finance Shopify (SHOP) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Shopify (SHOP) closed at $27.85, marking a -1.42% move from the previous day. This change lagged the S&P 500's 0.21% loss on the day. Meanwhile, the Dow lost 0.43%, and the Nasdaq, a tech-heavy index, added 0.01%.
Prior to today's trading, shares of the cloud-based commerce company had lost 11.55% over the past month. This has was narrower than the Computer and Technology sector's loss of 11.89% and lagged the S&P 500's loss of 9.7% in that time.
Investors will be hoping for strength from Shopify as it approaches its next earnings release. In that report, analysts expect Shopify to post earnings of -$0.06 per share. This would mark a year-over-year decline of 175%. Our most recent consensus estimate is calling for quarterly revenue of $1.34 billion, up 19.47% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of -$0.10 per share and revenue of $5.49 billion, which would represent changes of -115.63% and +18.99%, respectively, from the prior year.
Any recent changes to analyst estimates for Shopify should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.54% lower. Shopify is currently a Zacks Rank #5 (Strong Sell).
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 95, putting it in the top 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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