Shopify Inc. (NYSE:SHOP) shares are up on Thursday, reflecting positive momentum in the broader market. The stock is moving with broader market trends, as the S&P 500 gains 0.5% and the Technology sector advances 1.4%.
Shopify stock is building positive momentum. Why is SHOP stock trading higher?
No specific news is driving the stock’s movement today, but the overall market sentiment appears to be favorable for technology stocks. This positive environment may be contributing to the upward price action in Shopify.
The broader market context shows major indices like the Dow Jones up 0.61% and the Nasdaq gaining 0.89%, indicating a healthy risk appetite among investors. With eight sectors advancing and only three declining, the market breadth supports the upward momentum in Shopify’s stock price.
Technical Analysis
Currently, Shopify is trading 3.4% below its 20-day simple moving average (SMA) but is slightly above its 50-day SMA by 0.1%. Over the past 12 months, shares have increased by 53.59% and are positioned closer to their 52-week highs than lows, suggesting a strong longer-term trend.
The RSI is at 41.68, which is considered neutral territory, indicating that the stock is neither overbought nor oversold. Meanwhile, the MACD is below its signal line, indicating bearish pressure on the stock.
The combination of neutral RSI and bearish MACD suggests mixed momentum.
- Key Resistance: $173.00
- Key Support: $155.50
Section: Earnings & Analyst Outlook
Investors are looking ahead to the next earnings report on February 10, 2026.
- EPS Estimate: $0.47 (Up from $0.44 YoY)
- Revenue Estimate: $3.59 billion (Up from $2.81 billion YoY)
- Valuation: P/E of 115.8x (Indicates premium valuation)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $171.07. Recent analyst moves include:
- Scotiabank: Upgraded to Sector Outperform (Raised Target to $200.00) (Jan. 8)
- Wolfe Research: Upgraded to Peer Perform (Jan. 6)
- Wells Fargo: Overweight (Raised Target to $198.00) (Dec. 17, 2025)
Valuation Insight: While the stock trades at a premium P/E multiple, the strong consensus and 7% expected earnings growth suggest analysts view this growth as justification for the 7% upside to analyst targets.
Benzinga Edge Rankings
Below is the Benzinga Edge scorecard for Shopify Inc. Class A subordinate voting shares (SHOP), highlighting its strengths and weaknesses compared to the broader market:
- Momentum: Bullish (Score: 86.87/100) — Stock is outperforming the broader market.
- Quality: Strong (Score: 82.46/100) — Balance sheet remains healthy.
- Value: Risk (Score: 6.54/100) — Trading at a steep premium relative to peers.
The Verdict: Shopify Inc. Class A subordinate voting shares’s Benzinga Edge signal reveals a classic ‘High-Flyer’ setup. While the Momentum (86) confirms the strong trend, the extremely low Value (6) score warns that the stock is priced for perfection—investors should ride the trend but use tight stop-losses.
Also Read: Microsoft Unleashes Agentic AI To Automate Every Corner Of Retail
Price Action
SHOP Price Action: Shopify shares were up 1.03% at $159.13 at the time of publication on Thursday, according to Benzinga Pro data.
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