Shopify Stock: 7 Straight Green Days, Up 16%
Shopify (SHOP) stock is on a 7-day winning streak, up 15.6% since the run began. That added about $28.7 billion to the company’s market value, which now stands at about $213.0 billion. The stock closed at $164.44 on Tuesday, October 6, 8.1% below its 52-week high of $179.01 and 72.4% above its low of $95.40.
SHOP Versus The S&P 500
Returns for SHOP and the S&P 500 over the streak and the periods around it, all ending Tuesday, October 6 and including dividends:
| Return Period | SHOP | S&P 500 |
|---|---|---|
| 1 Day | 2.7% | 0.6% |
| 7 Days (Current Streak) | 15.6% | 1.0% |
| 1 Month (21 Trading Days) | 13.3% | 1.4% |
| 3 Months (63 Trading Days) | 37.9% | 4.8% |
| Year To Date | 2.2% | 15.2% |
| 1 Year (252 Trading Days) | 2.0% | 17.8% |
Is This Move About Shopify Or The Market?
The market explains little of this: the S&P 500 gained 1.0% over the same 7 sessions, including dividends, against Shopify’s +15.6%. Over the past three months the stock is up 37.9%, a window that includes the streak; over the other 56 sessions of that window it was up 19.3%.
Is The Business Keeping Up With The Stock?
On the fundamentals, revenue grew 32.5% over the last twelve months, against a median of 17.9% for S&P 500 Information Technology stocks; and its operating margin is 17.8%, versus a median of 21.7%. At least one of the last four quarters was a loss, so a price-to-earnings multiple would not be a meaningful yardstick here. The read is mixed: revenue growth above the median on one side, margins below the median on the other.
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