Company News

BUZZ-Shopify's fulfillment network to drive incremental revenue- NBC

** National Bank Of Canada raises PT of U.S.-listed shares of e-commerce software maker Shopify to $350 from $270; shares up 1.46% to $331.79 premarket

** Co said on Wednesday it plans to spend over a billion dollars to build and operate the Shopify fulfillment network (SFN) over the next few years, in an attempt to challenge Inc

** NBC says with shipping being one of the key variables to consumer purchasing decisions, it sees SFN driving conversion for Shopify’s merchants

** CIBC also raises PT to $350 from $260

** Brokerage positive on co’s improving trends, particularly in international markets and through enhancements to its higher-margin product Shopify Plus

** RBC raises PT to $347 from $265, says the SFN is an attempt to solve one of the largest pain points for smaller merchants - delivering on consumer expectation of 2-day shipping

** 17 of 27 brokerages rate the U.S.-listed shares “buy” or higher, 9 “hold” and 1 “sell” ; median PT is $275

** YTD, Toronto-listed shares up ~130%, and U.S.-listed shares up 136.2%

Reporting by Shradha Singh in Bengaluru