Should You Buy, Sell, or Hold Shopify Stock in June 2025?

Headquartered in Ottawa, Canda, Shopify (SHOP) is no ordinary name in e-commerce technology. Valued at $138.7 billion, it provides an end-to-end platform that empowers businesses to launch, manage, and expand across digital, physical, and social storefronts. Its integrated payment gateway, Shopify Payments, simplifies transactions for merchants both online and offline.

Shopify has also quietly outperformed the Magnificent 7 in 2025. SHOP stock has climbed 85% over the past 52-weeks, significantly beating the 25% return from the Roundhill Magnificent Seven ETF (MAGS) over the same period.

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Investors should also note that Shopify was added to the Nasdaq-100 Index ($IUXX) on May 19, replacing MongoDB (MDB). 

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Shopify Surpasses Q4 Earnings

Shopify posted strong Q1 2025 results, with revenue up 27% year-over-year to $2.36 billion and a free cash flow margin of 15%, up from 12% in the prior-year period. This marks the company’s eighth straight quarter of over 25% revenue growth.

Gross merchandise volume (GMV) rose nearly 23% to $74.75 billion, while monthly recurring revenue climbed to $182 million, up from $151 million a year ago.

For Q2, Shopify expects revenue growth in the mid-20% range and gross profit growth in the high teens. Operating expenses are projected to be 39%–40% of revenue.

Leadership credited the favorable Q1 results to merchant success and emphasized Shopify’s ability to grow profitably at scale.

What Do Analysts Expect for Shopify Stock?

At the moment, Shopify enjoys an overall rating of “Moderate Buy” from analysts, which reflects a generally positive sentiment toward the company. Of the 45 analysts covering the stock, 28 advocate a “Strong Buy,” two lean toward a “Moderate Buy,” 14 remain neutral with a “Hold,” and just one advises a “Strong Sell.” 

The average price target of $116.88 represents potential upside of 8.4%, while the Street-high target of $175 suggests that the stock can climb as much as 63.5% from the current price level. 

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On the date of publication, Aanchal Sugandh did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.