Shopify's Stock Rises 20% As Financial Results Beat Targets

2024-08-09 01:51:41

(MENAFN- Baystreet) The stock of Canada's Shopify (SHOP) is up 20% after the e-commerce company reported second-quarter financial results that beat analyst forecasts across the board.
Ottawa-based Shopify reported earnings per share (EPS) of $0.26 U.S., which topped Wall Street estimates that called for $0.20 U.S.
Revenue in the quarter amounted to $2.05 billion U.S., beating consensus forecasts of $2.01 billion U.S. Sales were up 21% from a year earlier.
The company also said in its earnings report that its gross merchandise volume increased 22% to $67.20 billion U.S. from a year ago.
Shopify, which helps independent merchants and small businesses run their businesses online via websites, said that for the current third quarter it expects revenue growth of 20% to 25% on a year-over-year basis.
The latest results represent a bounce back quarter for Shopify whose business has struggled coming out of the Covid-19 pandemic as consumers return to in-person shopping.
Before today (Aug. 7), the stock of Shopify had declined 27% this year and was trading at $54.22 U.S. a share. The stock was down 68% from a record high reached in November 2021.

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