Company News

BUZZ-Shopify: Eyes record high on analyst PT hikes, RBC upgrade to "outperform"

** U.S.-listed shares of Shopify were up 3 pct premarket as a slew of analysts hike their price targets in wake of co’s Q4 report on Tues

** U.S.-listed shares were trading at $180.40 before the bell vs record high of $180 hit on Mon

** Canadian e-commerce software maker’s stock fell as much as 7 pct in yesterday’s session after its profit forecast missed consensus on higher spending. But stock reversed course and closed Tues up 1.4 pct

** Roughly half of 27 covering analysts raised their PTs to as high as $230, per Refinitiv Eikon data

** RBC goes from $180 to Street-high $230, saying it expects a return to net new merchant growth this year driven by international expansion opportunity

** Baird reiterates “outperform”, raises PT from $165 to $188; writes that SHOP’s “best-in-class e-commerce growth story remains intact”

** Baird analyst Colin Sebastian, who garners 5-stars from StarMine for his coverage, says co’s elevated spending is justified by large global market opportunity, and expects shares to rebound as visibility improves in 2019

** Now, 19 analysts recommend buying SHOP, 7 are neutral and 1 rates “sell”; median PT $192.50, up from $170 a month ago (Refinitiv)

** U.S.-listed shares are up ~27 pct this year