On THURSDAY, Shopify Inc. (NYSE: SHOP) ended the last transaction at $285.75, with a change of -3.14%. The daily volume was calculated at 2447344 shares. The company has a market worth of $32784.1M. The average true range of the stock is observed at 15.28 and the relative strength index of the stock is recorded at 36.33. It holds an average volume of 2545.98K shares. In 52-week session, the stock hit the peak level of -30.24% and touched to lowest level of 142.90%.
Shopify Inc. (SHOP) recently reported strong financial results for the quarter ended September 30, 2019.
Third-Quarter Financial Highlights
- Total revenue in the third quarter was $390.6M, a 45% increase from the comparable quarter in 2018.
- Subscription Solutions revenue grew 37% to $165.6M. This increase was driven primarily by growth in Monthly Recurring Revenue1 (“MRR”), largely Because of a raise in the number of merchants joining the Shopify platform.
- Merchant Solutions revenue grew 50%, to $225.0M, driven primarily by the growth of Gross Merchandise Volume2(“GMV”).
- MRR as of September 30, 2019 was $50.7M, up 34% contrast with $37.9M as of September 30, 2018. Shopify Plus contributed $13.5M, or 27%, of MRR contrast with 24% of MRR as of September 30, 2018.
- GMV for the third quarter was $14.8B, a raise of $4.8B, or 48%, over the third quarter of 2018. Gross Payments Volume3 (“GPV”) grew to $6.2B, which accounted for 42% of GMV processed in the quarter, versus $4.1B, or 41%, for the third quarter of 2018.
- Gross profit dollars grew 45%, to $216.7M, contrast with $149.7M recorded for the third quarter of 2018.
- Operating loss for the third quarter of 2019 was $35.7M, or 9% of revenue, versus a loss of $31.4M, or 12% of revenue, for the comparable period a year ago.
- Adjusted operating income4 for the third quarter of 2019 was 3% of revenue, or $10.5M; adjusted operating loss for the third quarter of 2018 was 1% of revenue, or $2.4M.
- Net loss for the third quarter of 2019 was $72.8M, or $0.64 per share, contrast with $23.2M, or $0.22 per share, for the third quarter of 2018. Net loss for the third quarter of 2019 includes a tax provision of $48.3M. This provision is primarily Because of a one-time capital gain triggered by the transfer of regional relationship and territory rights from our Canadian entity to regional headquarters, which allows us to develop and maintain merchant and commercial operations in their respective regions as we expand internationally.
- Adjusted net loss4for the third quarter of 2019 was $33.6M, or $0.29 per share, contrast with adjusted net income of $5.8M, or $0.05 per share, for the third quarter of 2018.
- At September 30, 2019, Shopify had $2.67B in cash, cash equivalents and marketable securities, contrast with $1.97B on December 31, 2018. The increase reflects $688.0M of net proceeds from Shopify’s offering of Class A subordinate voting shares in the third quarter of 2019.
The financial outlook that follows constitutes forward-looking information within the meaning of applicable securities laws and is based on a number of assumptions and subject to a number of risks. Actual results could vary materially as a result of numerous factors, including certain risk factors, many of which are beyond Shopify’s control. Please see “Forward-looking Statements” below.
In addition to the other assumptions and factors described in this press release, Shopify’s outlook assumes the continuation of growth trends in our industry, our ability to manage our growth effectively and the absence of material changes in our industry or the global economy. The following statements supersede all previous statements made by Shopify and are based on current expectations. As these statements are forward-looking, actual results may differ materially.
These statements do not give effect to the potential impact of mergers, acquisitions, divestitures or business combinations that may be reported or closed after the date hereof. All numbers provided in this section are approximate.
For the full year 2019, Shopify presently expects:
- Revenues in the range of $1.545B to $1.555B
- GAAP operating loss in the range of $158M to $168M
- Adjusted operating income4 in the range of $27M to $37M, which excludes stock-based compensation expenses and related payroll taxes of $180M, and amortization of purchased intangibles of $15M
Shopify Inc has price to cash ratio of 11.57. The stock price decreased at -10.09% from 20-Days Simple Moving Average, plunged at -13.55% from 50-Days Simple Moving Average and settled at 3.09% from 200 Days Simple Moving Average. In the trailing 12 months period, return on assets ratio of the Company was -4.90% and return on equity ratio was -5.50% while its return on investment ratio was -4.40%.