Shopify: UBS Raises PT to $145 from $110, Maintains Neutral Rating
In a recent development, UBS Group has raised its price target for Shopify (NASDAQ:SHOP) to $145 from $110, while maintaining a neutral rating. The move comes following a series of positive analyst updates and strategic developments for the e-commerce platform [1].
UBS Group's new target price suggests a potential upside of 20% from the current trading price of $154.90. The bank cited Shopify's accelerating growth in the second quarter of 2025, with gross merchandise volume (GMV) excluding foreign exchange effects growing 29% year-over-year. Revenue also increased by 30% year-over-year, driven by gains in enterprise accounts and a healthy macroeconomic environment [1].
Shopify's competitive position has been bolstered by new features such as the checkout kit for AI agents and improvements to existing products like multi-entity support in Shopify Payments. Additionally, the company's expanded global reach and differentiated products like Shop Pay, Shop Campaigns, and the Shop App have provided unique value to merchants [1].
UBS Group's neutral rating reflects a cautious outlook on Shopify's valuation, with the bank noting that the stock appears overvalued at current levels according to InvestingPro analysis. However, the firm acknowledges Shopify's growth potential and the company's ability to generate incremental margins in the second half of 2025 and into 2026 [1].
In other recent news, Shopify has entered a partnership with WEBUY GLOBAL, integrating the group-buying platform with Shopify's merchant network. This collaboration is expected to expand WEBUY's reach to a broader range of online retailers, further highlighting Shopify's strategic positioning in the e-commerce landscape [1].
References:
[1] https://www.investing.com/news/analyst-ratings/shopify-stock-price-target-raised-to-185-from-135-at-citizens-jmp-93CH-4175571
[2] https://www.housingwire.com/articles/ubs-will-pay-300m-to-settle-credit-suisse-case/
[3] https://www.marketbeat.com/instant-alerts/mr-cooper-group-nasdaqcoop-price-target-raised-to-17800-at-ubs-group-2025-08-05/
Comments
No comments yet