Thanos Moschopoulos, an analyst from BMO Capital, has initiated a new Buy rating on Shopify (SHOP).
Thanos Moschopoulos has given his Buy rating due to a combination of factors that highlight Shopify’s strong market position and growth potential. The company has shown improved growth and operational efficiency after divesting its logistics segment in 2023. Moschopoulos sees significant opportunities for Shopify to expand, driven by its ability to adapt and provide agility to merchants, especially in the face of tariff-related challenges.
Shopify’s growth is supported by its increasing market share in the U.S., expansion into enterprise brands, and substantial growth in regions like EMEA. The company is also experiencing strong performance in its offline business and B2B segment, along with impressive growth in its payment solutions. Additionally, Shopify’s cost management has led to improved operating leverage, with a notable increase in EBITDA margin. These factors, combined with potential tariff rollbacks and the company’s resilience during disruptions, make the risk/reward profile attractive, justifying the Buy rating.
In another report released on April 30, Oppenheimer also maintained a Buy rating on the stock with a $125.00 price target.