Shopify Inc. (NASDAQ:SHOP) Short Interest Down 27.0% in January

Shopify Inc. (NASDAQ:SHOP) (TSE:SHOP) was the recipient of a significant drop in short interest in January. As of January 30th, there was short interest totaling 8,607,150 shares, a drop of 27.0% from the January 15th total of 11,795,858 shares. Based on an average daily volume of 10,399,752 shares, the days-to-cover ratio is currently 0.8 days. Approximately 0.7% of the shares of the stock are sold short. Approximately 0.7% of the shares of the stock are sold short. Based on an average daily volume of 10,399,752 shares, the days-to-cover ratio is currently 0.8 days.

Wall Street Analysts Forecast Growth

SHOP has been the topic of a number of research analyst reports. Zacks Research downgraded Shopify from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, November 12th. DZ Bank raised shares of Shopify from a “strong sell” rating to a “hold” rating in a research note on Thursday, November 6th. Jefferies Financial Group reiterated a “hold” rating on shares of Shopify in a report on Tuesday, February 3rd. Citizens Jmp decreased their price objective on shares of Shopify from $200.00 to $160.00 and set a “market outperform” rating for the company in a research note on Thursday. Finally, Wells Fargo & Company set a $191.00 target price on Shopify and gave the company an “overweight” rating in a research note on Thursday. Thirty-one equities research analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $161.97.

Key Stories Impacting Shopify

Here are the key news stories impacting Shopify this week:

• Positive Sentiment: Shopify reported strong Q4 revenue and profitability metrics—revenue grew ~31% YoY to $3.67B and EPS topped estimates—supporting bullish takeaways on merchant growth and cash generation. Q4/Profitable SaaS Article
• Positive Sentiment: Analysts have moved more positive: Mizuho upgraded SHOP to “outperform” with a $150 PT, TD Securities raised to “buy” with a $159 PT, and Needham reaffirmed a $180 target—these upgrades are driving buy-side interest. Mizuho Upgrade
• Positive Sentiment: Shopify’s commerce tooling is being integrated into major AI platforms (e.g., ChatGPT/Gemini), reinforcing long‑term revenue/engagement narratives tied to AI-enabled merchant services. AI Integration Article
• Neutral Sentiment: Loomis Sayles highlighted high‑quality, long‑growth companies including Shopify in its investor letter—positive signal for institutional interest but not an immediate catalyst. Loomis Sayles Letter
• Neutral Sentiment: Shopify announced a $2 billion buyback authorization; while buybacks can support the stock, analysts and investors are flagging execution risk and potential cash/volatility implications. Buyback Analysis
• Negative Sentiment: Several firms trimmed price targets (UBS to $145, Benchmark to $145, Wedbush/Citizens JMP trimmed targets), and Truist cut to a $110 target—these downgrades/target cuts introduce selling pressure and mixed sentiment among analysts. Price Target Moves Benchmark Cut
• Negative Sentiment: Despite revenue strength, some coverage highlighted margin strain from AI investment and mixed earnings reactions; the post‑earnings pullback reflected investor concerns about valuation and near‑term profitability. Margin Strain Article Post-Earnings Reaction

Institutional Trading of Shopify

A number of hedge funds have recently added to or reduced their stakes in the business. Kingdom Financial Group LLC. bought a new stake in shares of Shopify in the 4th quarter valued at about $26,000. Financial Gravity Companies Inc. bought a new position in Shopify in the second quarter worth approximately $27,000. Rothschild Investment LLC raised its stake in Shopify by 47.5% in the second quarter. Rothschild Investment LLC now owns 233 shares of the software maker’s stock worth $27,000 after buying an additional 75 shares in the last quarter. Heartwood Wealth Advisors LLC purchased a new stake in Shopify during the third quarter worth $27,000. Finally, Curio Wealth LLC bought a new stake in Shopify during the 4th quarter valued at $27,000. 69.27% of the stock is owned by hedge funds and other institutional investors.

Shopify Trading Up 1.8%

Shares of Shopify stock traded up $2.04 on Friday, hitting $112.70. 18,841,498 shares of the company traded hands, compared to its average volume of 16,404,605. The company has a market cap of $146.72 billion, a PE ratio of 121.18, a PEG ratio of 3.32 and a beta of 2.83. The stock’s 50 day moving average price is $150.31 and its 200-day moving average price is $150.82. Shopify has a 52 week low of $69.84 and a 52 week high of $182.19.

Shopify Company Profile

Shopify is a Canadian commerce technology company that provides a cloud-based platform for businesses to create, manage and scale online and physical retail stores. Its core offering is a software-as-a-service e-commerce platform that enables merchants to build customizable storefronts, manage product catalogs, process orders, and handle inventory. Shopify also supports omnichannel selling through integrated point-of-sale (POS) systems for in-person transactions.

Beyond storefront software, Shopify offers a range of merchant services and tools designed to simplify commerce operations.