As SHOP Surges 5.6% in a Day, DAVE’s Story Stands Out

SHOP: Shopify logo
SHOP
Shopify

Dave (DAVE) offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Shopify (SHOP), suggesting you may be better off investing in DAVE

  • DAVE’s quarterly revenue growth was 46.7%, vs. SHOP’s 26.8%.
  • In addition, its Last 12 Months revenue growth came in at 39.3%, ahead of SHOP’s 26.5%.
  • DAVE’s LTM margin is higher: 16.9% vs. SHOP’s 12.7%.

SHOP provides a global commerce platform enabling merchants to display, manage, market, and sell products across multiple sales channels. DAVE develops a financial app offering overdraft protection, banking services, credit building, financial insights, and side gig opportunities, along with a spending account and debit card.

Valuation & Performance Overview

  SHOP DAVE Preferred
     
Valuation      
P/EBIT Ratio 136.1 50.1 DAVE
     
Revenue Growth      
Last Quarter 26.8% 46.7% DAVE
Last 12 Months 26.5% 39.3% DAVE
Last 3 Year Average 24.8% 33.5% DAVE
     
Operating Margins      
Last 12 Months 12.7% 16.9% DAVE
Last 3 Year Average -0.0% -16.1% SHOP
     
Momentum      
Last 3 Year Return 205.2% 871.2% SHOP

Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: SHOP Revenue Comparison | DAVE Revenue Comparison
See more margin details: SHOP Operating Income Comparison | DAVE Operating Income Comparison
 
But do these numbers tell the full story? Read Buy or Sell DAVE Stock to see if Dave’s edge holds up under the hood or if Shopify still has cards to play (see Buy or Sell SHOP Stock).

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That is one way to look at stocks. Trefis High Quality Portfolio evaluates much more, and is designed to reduce stock-specific risk while giving upside exposure

Historical Market Performance

  2020 2021 2022 2023 2024 2025 Total [1] Avg Best
Returns
SHOP Return 185% 22% -75% 124% 36% 18% 198% <===
DAVE Return -97% -10% 937% 182% -29%  
S&P 500 Return 16% 27% -19% 24% 23% 8% 93%  
Monthly Win Rates [3]
SHOP Win Rate 67% 67% 25% 67% 50% 57%   55%  
DAVE Win Rate 75% 33% 33% 75% 71%   48%  
S&P 500 Win Rate 58% 75% 42% 67% 75% 57%   62% <===
Max Drawdowns [4]
SHOP Max Drawdown -19% -8% -81% 0% -33% -28%   -28%  
DAVE Max Drawdown -97% -51% -1% -19%   -28%  
S&P 500 Max Drawdown -31% -1% -25% -1% -2% -15%   -12% <===

[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year till date (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year

 
No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read DAVE Dip Buyer Analyses and SHOP Dip Buyer Analyses to see how these stocks have fallen and recovered in the past.