Stifel upgraded Shopify to Buy from Hold. The firm increased its price target for the stock to $150 from $110. Analysts forecast a clear path for the company to achieve revenue growth exceeding 30% by 2026.
Shopify reported a 35% year-over-year increase in gross merchandise volume during the first quarter. This performance significantly outpaced the 9.8% growth recorded by the broader U.S. e-commerce market.
The upgrade highlights Shopify's leadership in agentic commerce, a field where AI agents make purchases for consumers. Stifel noted that Shopify is well-positioned to capitalize on AI retail trends as monetization matures.
The firm suggested that a 23% year-to-date decline in the stock price creates an attractive entry point for investors.