Shopify (NYSE:SHOP) Stock, Quote.Headers.trade-ideas

Shopify

Shopify offers an e-commerce platform primarily to small and medium-size businesses. The firm has two segments. The subscription solutions segment allows Shopify merchants to conduct e-commerce on a variety of platforms, including the company's website, physical stores, pop-up stores, kiosks, social networks (Facebook), and Amazon. The merchant solutions segment offers add-on products for the platform that facilitate e-commerce and include Shopify Payments, Shopify Shipping, and Shopify Capital.

Roku's Rise with Streaming

Analyst Color

Technicals

Analyst Ratings

Tech

Trading Ideas

ROKU

SHOP

Roku Inc. (NASDAQ:ROKU) is focused on platform revenue growth, launching Ads Manager and partnerships for shoppable ads. Needham sees a $100 price target.

Roku: The &#39;Arms Dealer&#39; Of Streaming Gears Up For Monetization Surge, Says Analyst

PayPal stock

Long Ideas

News

Markets

Media

PLTR

PYPL

RIVN

VWAGY

PayPal will become an additional credit and debit card processor for Shopify Payments through its PayPal Complete Payments solution.

PayPal Is A Buy, Jim Cramer Says: As For Rivian? &#39;Let It Percolate&#39;

PayPal

Equities

AAPL

FINX

IPAY

PayPal expands strategic partnership with Shopify, offering advanced payment tools and unified experience for merchants. 

PayPal Expands Role In Shopify Payments: What&#39;s On The Cards?

Shopify Inc. Class A Subordinate Voting Shares

Shopify Inc

SHOPX

Sunstone Hotel Investors, Inc. 6.125% Series H Cumulative Redeemable Preferred Stock

Sunstone Hotel Investors Inc

Sunstone Hotel Investors, Inc. 5.70% Series I Cumulative Redeemable Preferred Stock

SHOPIFY CL A SUB VTG ORD

Shopping

SHOPRITE HLDGS LTD S/ADR by Shoprite Holdings Ltd.

Shoprite Holdings Ltd

SHOPRITE HLDGS LTD ORD by Shoprite Holdings Ltd.

Roku Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ROKU#NASDAQ">ROKU</a>) is gearing up for a platform monetization sprint, and investors are starting to tune in. After a strong showing at the JPMorgan U.S. All Stars Conference in London, Roku's management has made one thing crystal clear: it's all about accelerating <a href="https://www.benzinga.com/quote/ROKU/news">platform revenue growth</a>.
<h2 class="wp-block-heading">Shopify Integration Boosts Roku Ads Manager</h2>
Roku has <a href="https://www.businesswire.com/news/home/20240918031574/en/Roku-Launches-Ads-Manager-a-Self-Service-Performance-Solution-for-Growth-Marketers">launched</a> Roku Ads Manager, a self-service CTV performance solution featuring the first-ever Shopify Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) integration for shoppable campaigns. This new platform is designed to help direct-to-consumer brands of all sizes easily purchase CTV video ads, offering a familiar buying experience similar to search and social. 
Louqman Parampath, Roku's VP of Product Management, emphasized the platform's advantage: "Roku Ads Manager is uniquely positioned to offer data, optimization, and ad formats that no other CTV self-serve solution has." The integration with Shopify enhances reach for merchants, creating a new sales channel with shoppable ads.
<h2 class="wp-block-heading">Roku Management Doubling Down On Partnerships</h2>
With management doubling down on third-party partnerships and home screen changes, the streaming giant is eyeing a revenue boost that could turn heads as early as the fourth quarter of 2025. Partnerships with The Trade Desk Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TTD#NASDAQ">TTD</a>) are also nearing completion, positioning Roku for potential ad revenue growth.
Read Also: <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/08/40293747/analysts-see-strong-growth-potential-for-the-trade-desk-amid-ctv-expansion-and-stab">Analysts See Strong Growth Potential For The Trade Desk Amid CTV Expansion And Stable Digital Ad Market</a>
While Roku's CFO Dan Jedda and IR head Conrad Grodd laid out the company's priorities, the spotlight was on how Roku plans to balance revenue expansion with profitability. With platform growth initiatives set to be funded by reallocating existing operational expenses (nearly $2 billion in 2024), Roku is aiming to keep its spending lean.
This belt-tightening has led JPMorgan's Cory Carpenter to raise his price target on Roku from $80 to $90, citing increased confidence in the company's ability to grow earnings without breaking the bank.
<h2 class="wp-block-heading">Needham&#8217;s $100 Price Target Adds More Fuel To The Fire</h2>
Adding to the optimism, Needham has upgraded Roku&#8217;s price target to $100, reiterating their Buy rating. Analyst Laura Martin emphasized Roku&#8217;s strong strategic position in the U.S. over-the-top (OTT) and connected-TV (CTV) ecosystems.
With Roku devices now in 50% of U.S. broadband homes, the company is the largest streaming distribution platform, making it highly attractive to advertisers.
According to Needham, Roku benefits from a total addressable market (TAM) of around $62 billion in traditional linear TV advertising revenue for 2023. Roku's impressive cost control and tactical moves to become an &#8220;arms dealer&#8221; of streaming—similar to how Apple's iOS platform operates—reinforce Needham's bullish outlook. 
This potential, combined with its large CTV ad inventory and projected industry growth of 15-17% in 2024, paints a picture of significant valuation upside.
<h2 class="wp-block-heading">Technicals Point To A Strong Bullish Run—For Now</h2>
On the technical front, Roku is flashing bullish signals, with its stock price of $74.67 above key moving averages.
<figure class="wp-block-image size-full"><a href="https://bzresearch.myclickfunnels.com/benzinga-pro-content-webinar-registration/?utm_source=BZprocontent091824&amp;t=be2bearmibe3na1"><img loading="lazy" decoding="async" width="623" height="454" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/09/18142411/Screenshot-2024-09-18-at-4.00.08-PM.png" alt="" class="wp-image-554749" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/09/18142411/Screenshot-2024-09-18-at-4.00.08-PM.png 623w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/09/18142411/Screenshot-2024-09-18-at-4.00.08-PM-300x219.png 300w" sizes="(max-width: 623px) 100vw, 623px" /></a></figure>
<a href="https://bzresearch.myclickfunnels.com/benzinga-pro-content-webinar-registration/?utm_source=BZprocontent091824&amp;t=be2bearmibe3na1">Chart created using Benzinga Pro</a>
However, some selling pressure indicates a possible risk of bearish movement in the near future, so cautious optimism might be the best approach.
Read Next: 
<ul>
<li><a href="https://www.benzinga.com/markets/equities/24/09/40920634/roku-introduces-innovative-ads-manager-for-direct-to-consumer-brands-details">Roku Introduces Innovative Ads Manager For Direct-to-Consumer Brands: Details</a></li>
</ul>
Photo: Shutterstock

Roku: The 'Arms Dealer' Of Streaming Gears Up For Monetization Surge, Says Analyst

Roku Launches Ads Manager, A Self-Service CTV Solution For Growth Marketers, Featuring First-To-Market Shopify Integration For Shoppable Campaigns

WIIM

Shopify shares are trading higher after Redburn Atlantic upgraded the stock from Neutral to Buy.

Redburn Atlantic analyst Dominic Ball upgrades Shopify (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) from Neutral to Buy and announces $99 price target.

Upgrades

Price Target

Redburn Atlantic Upgrades Shopify to Buy, Announces $99 Price Target

Whales with a lot of money to spend have taken a noticeably bullish stance on Shopify.
Looking at options history for Shopify (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) we detected 10 trades.
If we consider the specifics of each trade, it is accurate to state that 60% of the investors opened trades with bullish expectations and 30% with bearish.
From the overall spotted trades, 4 are puts, for a total amount of $183,700 and 6, calls, for a total amount of $190,315.
<h3>Predicted Price Range</h3>
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $55.0 to $80.0 for Shopify over the last 3 months. 
<h3>Analyzing Volume &amp; Open Interest</h3>
Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Shopify's options for a given strike price. Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Shopify's whale trades within a strike price range from $55.0 to $80.0 in the last 30 days. 
<h3>Shopify Option Volume And Open Interest Over Last 30 Days</h3>
<img src="https://www.benzinga.com/files/images/story/2024/1726515934_0.png" alt="Options Call Chart" />
<h3>Largest Options Trades Observed:</h3>

<table>
<thead>
<tr>
<th>Symbol</th>
<th>PUT/CALL</th>
<th>Trade Type</th>
<th>Sentiment</th>
<th>Exp. Date</th>
<th>Ask</th>
<th>Bid</th>
<th>Price</th>
<th>Strike Price</th>
<th>Total Trade Price</th>
<th>Open Interest</th>
<th style="text-align: right;">Volume</th>
</tr>
</thead>
<tbody>
<tr>
<td>SHOP</td>
<td>PUT</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>01/16/26</td>
<td>$9.3</td>
<td>$8.2</td>
<td>$8.2</td>
<td>$60.00</td>
<td>$68.8K</td>
<td>3.0K</td>
<td style="text-align: right;">85</td>
</tr>
<tr>
<td>SHOP</td>
<td>PUT</td>
<td>SWEEP</td>
<td>NEUTRAL</td>
<td>01/17/25</td>
<td>$8.4</td>
<td>$8.2</td>
<td>$8.3</td>
<td>$75.00</td>
<td>$44.8K</td>
<td>2.9K</td>
<td style="text-align: right;">182</td>
</tr>
<tr>
<td>SHOP</td>
<td>PUT</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>12/20/24</td>
<td>$8.0</td>
<td>$7.9</td>
<td>$7.88</td>
<td>$75.00</td>
<td>$39.4K</td>
<td>1.3K</td>
<td style="text-align: right;">50</td>
</tr>
<tr>
<td>SHOP</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>10/11/24</td>
<td>$3.85</td>
<td>$3.75</td>
<td>$3.82</td>
<td>$72.00</td>
<td>$38.2K</td>
<td>42</td>
<td style="text-align: right;">124</td>
</tr>
<tr>
<td>SHOP</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>10/18/24</td>
<td>$2.51</td>
<td>$2.5</td>
<td>$2.5</td>
<td>$75.00</td>
<td>$37.6K</td>
<td>8.0K</td>
<td style="text-align: right;">458</td>
</tr>
</tbody>
</table>

<h3>About Shopify</h3>
Shopify offers an e-commerce platform primarily to small and medium-size businesses. The firm has two segments. The subscription solutions segment allows Shopify merchants to conduct e-commerce on a variety of platforms, including the company's website, physical stores, pop-up stores, kiosks, social networks (Facebook), and Amazon. The merchant solutions segment offers add-on products for the platform that facilitate e-commerce and include Shopify Payments, Shopify Shipping, and Shopify Capital.
In light of the recent options history for Shopify, it's now appropriate to focus on the company itself. We aim to explore its current performance.
<h3>Current Position of Shopify</h3>
<ul>
<li>Currently trading with a volume of 2,954,204, the SHOP's price is up by 1.54%, now at $73.56. </li>
<li>RSI readings suggest the stock is currently is currently neutral between overbought and oversold.</li>
<li>Anticipated earnings release is in 45 days.</li>
</ul>
<h3>Professional Analyst Ratings for Shopify</h3>
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $76.6.
<ul>
<li>An analyst from Cantor Fitzgerald has revised its rating downward to Neutral, adjusting the price target to $70. </li>
<li>Consistent in their evaluation, an analyst from JP Morgan keeps a Overweight rating on Shopify with a target price of $76. </li>
<li>An analyst from Wells Fargo persists with their Overweight rating on Shopify, maintaining a target price of $90. </li>
<li>Reflecting concerns, an analyst from JMP Securities lowers its rating to Market Outperform with a new price target of $80.</li>
<li>An analyst from Piper Sandler persists with their Neutral rating on Shopify, maintaining a target price of $67. </li>
</ul>
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you want to stay updated on the latest options trades for Shopify, <a href="https://benzinga.grsm.io/register174">Benzinga Pro</a> gives you real-time options trades alerts.

Options

Shopify Unusual Options Activity For September 16

PayPal Holdings, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PYPL#NASDAQ">PYPL</a>)<a href="https://www.benzinga.com/news/24/09/40781082/whats-going-on-with-paypal-stock"> is a buy</a>, according to CNBC's Jim Cramer. 
On Monday, PayPal disclosed an expansion of its strategic partnership with Shopify Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) in the U.S. 
Per the deal, PayPal will become an additional credit and debit card processor for Shopify Payments through its PayPal Complete Payments solution, providing flexible and advanced developer tools for marketplaces and platforms.
Cramer, on the latest &#8220;Mad Money Lightning Round,&#8221; said Rivian (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RIVN#NASDAQ">RIVN</a>) has &#8220;got the money to be able to make it. That doesn't mean that the stock is a buy, it does mean they're going to make it. So, I would say you've got to let it percolate. But it's not anytime soon.&#8221;
The recent $5 billion deal between Volkswagen (OTC:<a class="ticker" href="https://www.benzinga.com/stock/VWAGY#OTC">VWAGY</a>) and U.S. electric vehicle start-up Rivian Automotive has reportedly stirred up discontent among employees at the German automaker's software division Cariad.
&#8220;I think you're fine,&#8221; Cramer said when asked about The Southern Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SO#NYSE">SO</a>). &#8220;Let's say it's a baby growth story.&#8221;
On Aug. 29, Bank of America Securities analyst Julien Dumoulin-Smith maintained Southern with a Neutral and raised the price target from $86 to $87.
The Mad Money host said he is concerned about CVS Health Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CVS#NYSE">CVS</a>). &#8220;Let's just keep it on ice for the moment,&#8221; he added.
On Sept. 10, Cantor Fitzgerald analyst Sarah James reiterated CVS Health with a Neutral and maintained a $62 price target.
The Home Depot, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HD#NYSE">HD</a>) is &#8220;good,&#8221; Cramer said.
On Aug. 13, HD reported second-quarter 2024 sales growth of 0.6% year-over-year to $43.175 billion, marginally missing the consensus estimate of $43.376 billion. Adjusted EPS was $4.67 (-0.2% year over year), beating the consensus of $4.50.
Cramer said he doesn't have anything to say about Palantir Technologies Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PLTR#NYSE">PLTR</a>), adding that it is a &#8220;cold stock.&#8221;
On Sept. 6, S&amp;P Dow Jones Indices announced that Palantir Technologies will be added to the S&amp;P 500 Index, effective prior to the start of trading on Sept. 23.
Cramer said he is a buyer of Energy Transfer LP (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ET#NYSE">ET</a>).
On Aug. 9, Energy Transfer announced a secondary public offering of 38,755,996 of its common units.
Price Action:
<ul>
<li>PayPal shares rose 0.7% to settle at $69.35 on Wednesday.</li>
<li>Rivian shares rose 5.3% to close at $13.93 during Wednesday's session.</li>
<li>Palantir shares gained 0.3% to settle at $34.85.</li>
<li>Energy Transfer shares rose 0.3% to close at $15.87.</li>
<li>Southern shares fell 1% to close at $88.77 during Wednesday's session.</li>
<li>CVS fell 1.5% to settle at $56.11 during the session.</li>
<li>Home Depot shares fell 0.1% to close at $370.49 on Wednesday.</li>
</ul>
Read Next: 
<ul>
<li><a href="https://www.benzinga.com/top-stories/24/09/40813043/jim-cramer-not-the-time-to-own-oil-when-asked-about-exxon-mobil-says-ibm-is-performing-well">Jim Cramer: &#8216;Not The Time To Own Oil,&#8217; When Asked About Exxon Mobil; Says IBM Is &#8216;Performing Well&#8217;</a></li>
</ul>
Image: Shutterstock

PayPal Is A Buy, Jim Cramer Says: As For Rivian? 'Let It Percolate'

Shopify shares are trading higher after Wells Fargo raised its price target on the stock from $80 to $90.

Wells Fargo analyst Andrew Bauch maintains Shopify (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) with a Overweight and raises the price target from $80 to $90.

Wells Fargo Maintains Overweight on Shopify, Raises Price Target to $90

JMP Securities analyst Andrew Boone reiterates Shopify (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) with a Market Outperform and maintains $80 price target.

Reiteration

JMP Securities Reiterates Market Outperform on Shopify, Maintains $80 Price Target

Shopify (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) has outperformed the market over the past 10 years by 29.87% on an annualized basis producing an average annual return of 40.42%. Currently, Shopify has a market capitalization of $87.51 billion. 
Buying $100 In SHOP: If an investor had bought $100 of SHOP stock 10 years ago, it would be worth $2,960.28 today based on a price of $67.82 for SHOP at the time of writing.
<h3>Shopify's Performance Over Last 10 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2024/1725989422_0_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

If You Invested $100 In This Stock 10 Years Ago, You Would Have $3,000 Today

Deep-pocketed investors have adopted a bearish approach towards Shopify (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>), and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in SHOP usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 9 extraordinary options activities for Shopify. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 33% leaning bullish and 66% bearish. Among these notable options, 4 are puts, totaling $651,830, and 5 are calls, amounting to $399,825.
<h3>Projected Price Targets</h3>
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $65.0 to $80.0 for Shopify over the recent three months. 
<h3>Volume &amp; Open Interest Trends</h3>
Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.
This data can help you track the liquidity and interest for Shopify's options for a given strike price.
Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Shopify's whale activity within a strike price range from $65.0 to $80.0 in the last 30 days. 
<h3>Shopify Call and Put Volume: 30-Day Overview</h3>
<img src="https://www.benzinga.com/files/images/story/2024/1725988543_0.png" alt="Options Call Chart" />
<h3>Noteworthy Options Activity:</h3>

<table>
<thead>
<tr>
<th>Symbol</th>
<th>PUT/CALL</th>
<th>Trade Type</th>
<th>Sentiment</th>
<th>Exp. Date</th>
<th>Ask</th>
<th>Bid</th>
<th>Price</th>
<th>Strike Price</th>
<th>Total Trade Price</th>
<th>Open Interest</th>
<th style="text-align: right;">Volume</th>
</tr>
</thead>
<tbody>
<tr>
<td>SHOP</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>01/16/26</td>
<td>$14.9</td>
<td>$14.5</td>
<td>$14.9</td>
<td>$70.00</td>
<td>$298.0K</td>
<td>3.2K</td>
<td style="text-align: right;">200</td>
</tr>
<tr>
<td>SHOP</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>01/16/26</td>
<td>$11.75</td>
<td>$11.7</td>
<td>$11.7</td>
<td>$65.00</td>
<td>$233.6K</td>
<td>3.4K</td>
<td style="text-align: right;">200</td>
</tr>
<tr>
<td>SHOP</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>12/20/24</td>
<td>$6.3</td>
<td>$6.25</td>
<td>$6.25</td>
<td>$70.00</td>
<td>$156.2K</td>
<td>4.8K</td>
<td style="text-align: right;">770</td>
</tr>
<tr>
<td>SHOP</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>06/20/25</td>
<td>$17.7</td>
<td>$17.55</td>
<td>$17.7</td>
<td>$80.00</td>
<td>$88.5K</td>
<td>3.0K</td>
<td style="text-align: right;">50</td>
</tr>
<tr>
<td>SHOP</td>
<td>CALL</td>
<td>TRADE</td>
<td>BEARISH</td>
<td>10/25/24</td>
<td>$5.45</td>
<td>$5.35</td>
<td>$5.35</td>
<td>$65.00</td>
<td>$79.7K</td>
<td>3</td>
<td style="text-align: right;">151</td>
</tr>
</tbody>
</table>

<h3>About Shopify</h3>
Shopify offers an e-commerce platform primarily to small and medium-size businesses. The firm has two segments. The subscription solutions segment allows Shopify merchants to conduct e-commerce on a variety of platforms, including the company's website, physical stores, pop-up stores, kiosks, social networks (Facebook), and Amazon. The merchant solutions segment offers add-on products for the platform that facilitate e-commerce and include Shopify Payments, Shopify Shipping, and Shopify Capital.
In light of the recent options history for Shopify, it's now appropriate to focus on the company itself. We aim to explore its current performance.
<h3>Shopify's Current Market Status</h3>
<ul>
<li>With a volume of 1,875,244, the price of SHOP is down -1.17% at $67.33. </li>
<li>RSI indicators hint that the underlying stock is currently neutral between overbought and oversold.</li>
<li>Next earnings are expected to be released in 51 days.</li>
</ul>
<h3>What The Experts Say On Shopify</h3>
A total of 4 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $73.25.
<ul>
<li>An analyst from Cantor Fitzgerald has revised its rating downward to Neutral, adjusting the price target to $70. </li>
<li>An analyst from JP Morgan has decided to maintain their Overweight rating on Shopify, which currently sits at a price target of $76. </li>
<li>An analyst from Loop Capital persists with their Hold rating on Shopify, maintaining a target price of $80. </li>
<li>Maintaining their stance, an analyst from Piper Sandler continues to hold a Neutral rating for Shopify, targeting a price of $67. </li>
</ul>
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you want to stay updated on the latest options trades for Shopify, <a href="https://benzinga.grsm.io/register174">Benzinga Pro</a> gives you real-time options trades alerts.

Unpacking the Latest Options Trading Trends in Shopify

PayPal Holdings, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PYPL#NASDAQ">PYPL</a>) disclosed an <a target="_blank" href="https://newsroom.paypal-corp.com/2024-09-09-PayPal-partners-with-Shopify-to-power-a-portion-of-Shopify-Payments-in-the-U-S" rel="noreferrer noopener">expansion </a>of its strategic partnership with Shopify Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) in the U.S.
As per the deal, PayPal will become an additional credit and debit card processor for Shopify Payments through its PayPal Complete Payments solution, providing flexible and advanced developer tools for marketplaces and platforms.
PayPal wallet transactions will be seamlessly integrated into Shopify Payments in the U.S., simplifying order management, payouts, reporting, and chargeback processes.
This update provides a unified experience for PayPal and Shopify merchants, combining innovative payment options with improved operational efficiency.
Last week, PayPal stated that it is integrating its debit card with&nbsp;Apple mobile wallet and offering different cashback rewards to penetrate the U.S. <a target="_blank" href="https://www.benzinga.com/fintech/24/09/40731875/paypal-ventures-into-in-person-payments-with-apple-pay-integration-and-cashback-rewards" rel="noreferrer noopener">point-of-sale (POS) payments market</a>.
Last month, PayPal and Fiserv expanded their longstanding partnership to streamline how Fiserv clients enable PayPal, <a target="_blank" href="https://www.benzinga.com/markets/equities/24/08/40627719/paypal-supercharges-checkout-new-fiserv-partnership-boosts-one-click-conversions" rel="noreferrer noopener">Venmo, and related services</a>.
Investors can gain exposure to PYPL via&nbsp;Global X FinTech ETF&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FINX#NASDAQ">FINX</a>) and&nbsp;Amplify ETF Trust Amplify Mobile Payments ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IPAY#NYSE">IPAY</a>).
Also Read: <a target="_blank" href="https://www.benzinga.com/markets/equities/24/08/40627719/paypal-supercharges-checkout-new-fiserv-partnership-boosts-one-click-conversions" rel="noreferrer noopener">PayPal Supercharges Checkout: New Fiserv Partnership Boosts One-Click Conversion</a>
Price Action: PYPL shares are up 1.07% at $69.63 at the last check Monday.
Image via Shutterstock
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

PayPal Expands Role In Shopify Payments: What's On The Cards?

Roblox Corp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RBLX#NYSE">RBLX</a>) announced multiple upcoming changes to encourage more traditional game developers. Techcrunch <a target="_blank" href="https://techcrunch.com/2024/09/06/roblox-introduces-new-earning-opportunities-for-creators-teases-generative-ai-project/'" rel="noreferrer noopener">cites</a> Roblox chief product officer Manuel Bronstein in an interview.
The online gaming company is looking to open up more opportunities for creators, including a project that will power generative AI creation on the platform.&nbsp;TechCrunch reports that Roblox proposed a "Price Optimization" tool to help developers identify the best price for in-experience purchases.&nbsp;
Creators will now receive 50% of the revenue for paid experiences worth $9.99, 60% for experiences worth $29.99, and 70% for experiences worth $49.99, TechCrunch cites from the annual Roblox Developers Conference Friday. The creators earn about 25% of the revenue for their paid experiences.&nbsp;
Roblox CEO and Co-Founder&nbsp;Dave Baszucki&nbsp;eyes 10% of the global video-game content market when it reaches 300 million daily active users by collaborating with Apple Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>),&nbsp;Alphabet Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>) (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) and&nbsp;Tencent Holdings (OTC:<a class="ticker" href="https://www.benzinga.com/stock/TCEHY#OTC">TCEHY</a>),
Bloomberg <a target="_blank" href="https://www.bloomberg.com/news/articles/2024-09-06/roblox-aims-to-attract-10-of-180-billion-gaming-content-market?srnd=phx-technology&amp;sref=TBDibEcD" rel="noreferrer noopener">cites</a> from the conference.
Baszucki told Bloomberg that the gaming market accounts for $180 billion in content revenue annually.
Roblox also tapped&nbsp;Shopify Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) to help users sell physical products through digital Roblox experiences.
The gaming company also revealed plans for a new program to price paid-access experiences on desktop versions in real currency.
Baszucki told Bloomberg that in 2023, Roblox paid over $800 million to its community of game developers.
Roblox's fiscal 2024 investor guidance of <a target="_blank" href="https://www.benzinga.com/news/earnings/24/08/40099661/robloxs-q2-earnings-31-topline-growth-increased-user-engagement-guidance-hike" rel="noreferrer noopener">$4.2 billion in bookings</a> is about 2% of the global gaming market, which Baszucki estimates currently at $160 billion and $180 billion, the Verge <a target="_blank" href="https://www.theverge.com/2024/9/6/24237685/robloxs-ceo-on-getting-to-1-billion-users" rel="noreferrer noopener">reports</a>. Baszucki told Verge its ambition is to reach 1 billion users, citing that Roblox could beat the entire AAA game industry.
Roblox stock gained 53% in the last 12 months. Investors can gain exposure to the stock through Vanguard Mid-Cap ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VO#NYSE">VO</a>) and Vanguard Total Stock Market ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VTI#NYSE">VTI</a>).
Price Action: RBLX stock is up 1.79% at $44.42 premarket at the last check Monday.
Photo via Shutterstock

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Roblox Targets 1B Users, Boosting Growth Through Apple, Alphabet, and Shopify Collaborations

<a href="https://investor.pypl.com/home/default.aspx">PayPal Holdings Inc.</a> (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PYPL#NASDAQ">PYPL</a>) today announced an expansion of its global strategic partnership with Shopify Inc. ((NYSE, TSX:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#TSX">SHOP</a>) in the U.S. PayPal will become an additional online credit and debit card processor for Shopify Payments through PayPal Complete Payments, a solution for marketplaces and platforms comprised of flexible and powerful developer tools.
With a brand-new experience, PayPal wallet transactions will be integrated into Shopify Payments in the U.S., which will streamline the managing of orders, payouts, reporting, and chargeback flows. This enhancement creates a single, unified experience for PayPal and Shopify merchants offering both innovative payment options and operational efficiency.

TSX:SHOP

PayPal Expands Partnership with Shopify, Integrating Payments for US Merchants

These ten large-cap stocks were the best performers in August. Are they in your portfolio?
<ol>
<li>Affirm Holdings, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AFRM#NASDAQ">AFRM</a>) shares escalated 66.58% in August. It reported&nbsp;strong&nbsp;fourth-quarter&nbsp;earnings and <a href="https://www.benzinga.com//node/40630056" target="_blank" rel="noreferrer noopener">upbeat&nbsp;first-quarter&nbsp;guidance</a>.</li>
<li>CAVA Group, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CAVA#NYSE">CAVA</a>) stock jumped 34.99%. The company reported better-than-expected&nbsp;second-quarter&nbsp;results, and analysts boosted <a href="https://www.benzinga.com//node/40528470" target="_blank" rel="noreferrer noopener">stock price forecasts</a>.</li>
<li>Fortinet, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FTNT#NASDAQ">FTNT</a>) shares rose 34.11%. It reported strong second-quarter results and <a href="https://www.benzinga.com//node/40599688" target="_blank" rel="noreferrer noopener">issued&nbsp;above-estimate guidance</a>.</li>
<li>Nu Holdings Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NU#NYSE">NU</a>) stock upped 29.95%. The company reported strong&nbsp;<a href="https://www.benzinga.com//node/40368174" target="_blank" rel="noreferrer noopener">results for the&nbsp;second quarter</a>.</li>
<li>Kellanova (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/K#NYSE">K</a>) stock upped 29.91%. The company inked a deal to be bought by privately held <a href="https://www.benzinga.com//node/40364761" target="_blank" rel="noreferrer noopener">Mars</a><a href="https://www.benzinga.com//node/40364761" target="_blank" rel="noreferrer noopener"> for&nbsp;$83.50&nbsp;per share</a>.</li>
<li>Nutanix, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NTNX#NASDAQ">NTNX</a>) stock escalated 28.96%. It reported&nbsp;fourth-quarter results, and many analysts&nbsp;<a href="https://www.benzinga.com//node/40626089" target="_blank" rel="noreferrer noopener">boosted the stock's price target</a>.</li>
<li>Aspen Technology, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AZPN#NASDAQ">AZPN</a>) shares rose 28.64%. The company reported better-than-<a href="https://www.benzinga.com//node/40226872" target="_blank" rel="noreferrer noopener">expected&nbsp;fourth-quarter results</a>.</li>
<li>MercadoLibre, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MELI#NASDAQ">MELI</a>) stock rocketed 28.37%.</li>
<li>Shopify Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) shares were up 27.33%. It posted a strong earnings report and several analysts&nbsp;<a href="https://www.benzinga.com//node/40268815" target="_blank" rel="noreferrer noopener">revised the price target</a>.</li>
<li>Starbucks Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SBUX#NASDAQ">SBUX</a>) stock was up 25.91%. Chipotle Mexican Grill, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CMG#NYSE">CMG</a>) CEO and Chairman Brian Niccol was named Starbucks' new Chairman and <a href="https://www.benzinga.com//node/40338228" target="_blank" rel="noreferrer noopener">Chief Executive Officer, effective September 9</a>.</li>
</ol>
Also Read:
<ul>
<li><a href="https://www.benzinga.com/news/large-cap/24/09/40764325/intel-moderna-and-dollar-general-were-among-top-10-large-cap-losers-in-august-are-the-others-in-yo">Intel, Moderna And Dollar General Were Among Top 10 Large Cap Losers In August: Are The Others In Your Portfolio?</a></li>
</ul>
Photo via Shutterstock.

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Affirm, Shopify And Starbucks Were Among Top 10 Large Cap Best Performers For August: Are The Others In Your Portfolio?

Shopify Inc. ((NYSE, TSX:<a href="https://www.benzinga.com/stock/SHOP#TSX">SHOP</a>), announced today that Tobias Lütke, Shopify's Chief Executive Officer, has adopted an automatic securities disposition plan ("ASDP"), in accordance with securities laws and Shopify's internal policies, with sales of Class A Subordinate Voting Shares ("Class A Shares") under the plan eligible to commence on or after September 17, 2024. The Ontario Securities Commission issued a decision exempting Mr. Lütke from the prospectus requirements under Canadian securities legislation with respect to sales of Class A Shares under the ASDP. This announcement is made pursuant to the requirements of that decision. Mr. Lütke entered into automatic securities disposition plans under a similar exemption annually from 2017 to 2021.
The ASDP permits trades to be made in accordance with pre-arranged instructions given when Mr. Lütke was not in possession of material non-public information regarding Shopify. The ASDP provides for the sale of an aggregate of up to 2,564,964 Class A Shares and will terminate no later than December 31, 2025. All the Class A Shares that could potentially be sold under the ASDP are pursuant to vested options and restricted share units granted to Mr. Lütke as compensation for his services as Chief Executive Officer. The ASDP does not provide for the conversion of any multiple voting shares of the Company owned by Mr. Lütke.

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Management

Automatic Securities Disposition Plan Adopted By Shopify CEO Tobias Lütke; The ASDP Provides For The Sale Of An Aggregate Of Up To 2,564,964 Class A Shares And Will Terminate No Later Than December 31, 2025

Roblox Says It Has Partnered With Shopify And Plans To Integrate With Various E-Commerce Platforms

Cantor Fitzgerald analyst Deepak Mathivanan initiates coverage on Shopify (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>) with a Neutral rating and announces Price Target of $70.

Initiation

Cantor Fitzgerald Initiates Coverage On Shopify with Neutral Rating, Announces Price Target of $70

GoDaddy&lsquo;s (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/gddy#NYSE">GDDY</a>) shares have outperformed the Zacks Computer &amp; Technology sector as well as its peers Shopify (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/shop#NYSE">SHOP</a>), BigCommerce (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/bigc#NASDAQ">BIGC</a>) and Alphabet on a year-to-date (YTD) basis.
While GDDY&#39;s shares have returned 57.7%, Alphabet increased 16.9%. Shopify and BIGC registered declines of 4.9% and 39.8%, respectively, year to date. The broader sector has appreciated 20.7% over the same timeframe.
GoDaddy&#39;s robust stock price performance has been driven by its better-than-expected financial results and impressive growth profile.
In second-quarter 2024, GDDY posted revenues of $1.12 billion, which increased 7% year over year on a reported basis and a constant-currency (cc) basis. The upside underscores its robust performance, particularly in the Applications and Commerce segment.
<div class="chart_embed">
<h3>GoDaddy Inc. Price and Consensus</h3>
<img alt="GoDaddy Inc. Price and Consensus" src="https://staticx-tuner.zacks.com/images/charts/bc/1725372689.png" style="height:281px; width:620px" title="" />
GoDaddy Inc. price-consensus-chart | GoDaddy Inc. Quote
The question investors should now ask is whether this bull run will continue for GDDY&#39;s shares.
</div>
<h3>Strong Portfolio to Aid GDDY Shares Surge</h3>
GoDaddy&#39;s expanding portfolio has been a major growth driver of its success. In second-quarter 2024, GoDaddy Airo, an AI-powered experience, significantly boosted customer engagement.
More than a million new customers leveraged Airo and half a million actively engaged with it. This is expected to enhance future monetization and retention. In the coming months, GDDY plans to expand Airo into over 90 countries.
In the said quarter, GoDaddy stated that its internal AI-powered guide assist bot, GABI, now supports more than 60 languages. This advancement will further enhance customer interactions and operational efficiency.
GDDY&#39;s focus on small businesses and expanding clientele has been a key catalyst. In the second quarter, it launched the Digital Marketing Suite, offering personalized marketing tools to help users grow their business without a website.
In May, the company expanded its Small Business GenAI Prompt Library, offering more than 185 updated prompts and new capabilities to support small business owners globally.
Further expanding its footprint in digital marketing in August, GoDaddy introduced Digital Marketing, an all-in-one solution designed to streamline marketing efforts with AI-powered tools, social media integration and a unified inbox for small business owners.
<h3>GDDY Q3 Guidance Positive</h3>
GoDaddy&#39;s expanding portfolio is poised to attract numerous small businesses, which in turn will drive its top-line growth.
For third-quarter 2024, the company expects revenues of $1.13-$1.15 billion, indicating year-over-year growth of 7% at the mid-point.
The Zacks Consensus Estimate for third-quarter 2024 revenues is currently pegged at $1.14 billion, suggesting 6.83% growth over the figure reported in the year-ago quarter.
The consensus mark for earnings is currently pegged at $1.25 per share, up by a penny in the past 30 days.
<h3>GDDY&#39;s Stock Overvalued</h3>
The GoDaddy stock is not so cheap, as the Value Style Score of D suggests a stretched valuation at this moment.
In terms of the forward 12-month Price/Sales ratio, GoDaddy is trading at 5.50X, higher than its median of 3.86X and the Zacks Internet - Delivery Services sector&#39;s 1.61X.
GoDaddy currently carries Zacks Rank #3 (Hold), suggesting that it may be wise to wait for a more favorable entry point in the stock.
<a href="https://www.zacks.com/stock/news/2330975/godaddy-stock-surges-57-7-ytd-will-the-bull-run-continue?cid=CS-BENZ-FT-analyst_blog|rank_focused-2330975">To read this article on Zacks.com click here.</a>

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GoDaddy Stock Surges 57.7% YTD: Will the Bull Run Continue?

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Shares of companies within the broader tech sector are trading lower amid overall market weakness. Weakness may be due to August's ISM Manufacturing PMI data indicating an economic contraction.

Barclays analyst Trevor Young maintained a Hold rating on Shopify (SHOP – Research Report) today and set a price target of $65.00. The company's sh...

Barclays Remains a Hold on Shopify (SHOP)

Fidelity Select Technology Portfolio Q2 2024 Review

Shopify: Optimistic Guidance Drives A Sharp Rise In Stock Price

Internet stocks with high interest income could see free cash flow drags due to the new rate environment

Thanks to resilience in consumer spending and the rapid evolution of technology, the retail sector is rising. Hence, it could be an opportune time to invest in high-quality discounted retail stocks such as Target Corp. (TGT), Kroger (KR), and Albertsons Companies (ACI). Read on… Retail stocks have gained attention as consumer spending remains resilient even in the face of economic uncertainty. Thus, for investors, it could be wise to scoop up the shares of high-quality retail stocks like Target Corporation (<a href="https://stocknews.com/stock/TGT/">TGT</a>), The Kroger Co. (<a href="https://stocknews.com/stock/KR/">KR</a>), and Albertsons Companies, Inc. (<a href="https://stocknews.com/stock/ACI/">ACI</a>), which are trading at a discount compared to their peers.
Retail sales increased in August due to strong consumer demand and easing inflation. According to the Retail Monitor, total retail sales (excluding automobiles and gasoline) rose by 0.5% sequentially and <a href="https://www.cpapracticeadvisor.com/2024/09/13/retail-sales-grew-in-august-as-inflation-decreased/110471/">2.1% year-over-year</a>. Over the first eight months of the year, total retail sales grew by 2.1% year-over-year, with core sales rising by 2.3%.
Grocery and beverage stores also saw a healthy boost, with a 0.9% increase from July and a 2.5% rise from August last year. Meanwhile, fueled by strong promotional pushes for subscription and membership programs, the U.S. online grocery sales ended August <a href="https://www.producebluebook.com/2024/09/16/august-online-grocery-sales-near-10-billion-up-7/">at $9.9 billion</a>, marking a 7% increase from the previous year.
The expansion of online grocery shopping and delivery services has broadened market access and convenience for consumers. The online grocery market, valued at approximately $11.93 billion in 2024, is projected to reach nearly $15.47 billion by 2031, growing at a <a href="https://www.verifiedmarketresearch.com/product/food-grocery-retail-market/">CAGR of 3.3%</a>. This growth is supported by an increasing consumer focus on health and wellness, with a rising demand for organic and health-conscious products.
Moreover, the retail industry is inherently consumer-driven and highly dynamic, adapting to shifting consumer preferences, technological advancements, and market trends. Today, retailers are not just adjusting to digital transformation but are actively embracing it. This shift enhances operational efficiencies and enables retailers to offer a more personalized shopping experience.
Considering these conducive trends, let's examine the <a href="https://stocknews.com/category/grocery-big-box-retailers/">Grocery/Big Box Retailers</a> industry stocks in detail, beginning with the third choice:
Stock #3: Albertsons Companies, Inc. (<a href="https://stocknews.com/stock/ACI/">ACI</a>)
ACI is engaged in the operation of food and drug stores in the United States. It offers groceries, general merchandise, health and beauty care products, pharmacy, fuel, and other items and services.
On September 4, ACI launched its newest brand, Overjoyed, its first major private label. The label offers categories that include bakery and décor, snack mixes, candy, cookies, and celebration supplies. The addition aligns with the company's strategy to expand its brand portfolio, boost margins, and differentiate its offerings in a competitive retail landscape.
On June 25, ACI partnered with Gruhub to offer delivery from nearly 1,800 of its stores, including Albertsons, Safeway, and Jewel-Osco, via the Grubhub Marketplace. As the first national grocery chain to collaborate with Grubhub, ACI expands its reach, enhancing customer convenience and competitiveness in the growing grocery delivery market.
ACI's trailing-12-month ROTC of 8.28% is 19.2% higher than the 6.94% industry average. Similarly, its 45.56% trailing-12-month ROCE is considerably higher than the industry average of 10.67%.
In terms of forward non-GAAP P/E, ACI is trading at 8.06x, 56% lower than the industry average of 18.34x. Likewise, the stock's forward EV/Sales and Price/Cash Flow multiples of 0.31 and 3.87 are 82.3% and 68.8% lower than the industry averages of 1.74x and 12.40x, respectively.
In the fiscal first quarter that ended on June 15, 2024, ACI's net sales and other revenue increased marginally year-over-year to $24.27 billion. The company reported a gross margin of $6.74 billion, indicating 1.1% growth from the prior year quarter. ACI's adjusted <a href="https://www.investopedia.com/terms/n/netincome.asp">net income</a> stood at $391.60 million or $0.66 per common share.
Analysts expect ACI's revenue and EPS for the current year (ending February 2025) to be $80.53 billion and $2.36, respectively. For the fiscal year 2026, both its revenue and EPS are expected to grow by 1.6% and 0.6% from the prior year to $81.81 billion and $2.38, respectively.
ACI's stock has gained marginally intraday to close the last trading session at $19.06.
ACI's <a href="https://stocknews.com/powr-ratings/">POWR Ratings</a> reflect this robust outlook. The stock has an overall rating of B, which equates to Buy in our proprietary rating system. The POWR Ratings are calculated by considering 118 different factors, with each factor weighted to an optimal degree.
ACI has an A grade for Value and a B for Quality. It is ranked #20 out of 37 stocks in the A-rated <a href="https://stocknews.com/category/grocery-big-box-retailers/">Grocery/Big Box Retailers</a> industry. <a href="https://stocknews.com/stock/ACI/">Click here</a> to see the additional ratings for ACI (Growth, Momentum, Stability, and Sentiment).
Stock #2: The Kroger Co. (<a href="https://stocknews.com/stock/KR/">KR</a>)
KR is a food and drug retailer that owns and operates in supermarkets, multi-department stores, marketplace stores, and price-impact warehouses. It offers grocery, health, and beauty care items, general merchandise (including apparel, home goods, and toys), pet centers, fresh seafood, and organic produce.
On July 31, KR announced the expansion of its ‘Our Brands' portfolio with the launch of Field &amp; Vine&#x2122;, a fresh produce line sourced from U.S. farmers across several states. The brand offers seasonal berries like blueberries, blackberries, raspberries, and strawberries, ensuring optimal freshness and reduced transit times. This expansion enhances KR's private label offerings and is poised to attract health-conscious consumers.
KR's trailing-12-month ROCE and ROTA of 24% and 5.43% are 125% and 23.5% higher than their respective industry averages of 10.67% and 4.40%. Likewise, its trailing-12-month asset turnover ratio of 2.96x is considerably above the industry average of 0.85x.
In terms of forward EV/Sales, KR is trading at 0.38x, which is 78% lower than the industry average of 1.74x. The stock's forward Price/Sales ratio of 0.27x is 79.9% below the industry average of 1.35x. Also, its forward Price/Cash Flow multiple of 6.41 compares to the industry average of 12.40x.
For the second quarter of 2024, which ended on August 17, KR's sales increased marginally year-over-year to $33.91 billion. Its operating profit came in at $815 million versus a loss of $479 million in the prior year. Further, its attributable net earnings amounted to $466 million and $0.64 per share, compared to a net loss of $180 million and $0.25 per share in 2023.
Per the updated financial guidance 2024, KR forecasts identical sales without fuel between 0.75% and 1.75%. The company expects adjusted FIFO operating profit to be in the range of $4.60 billion to $4.80 billion. Also, its adjusted net earnings per share is forecasted to lie between $4.30 and $4.50.
Street expects KR's revenue for the fiscal third quarter (ending October 2024) to increase marginally year-over-year to $34.23 billion. Its EPS for the same period is expected to register a 3.2% growth from the prior year, settling at $0.98. In addition, it surpassed the EPS estimates in each of the trailing four quarters, which is promising.
Shares of KR have surged 25% over the past nine months to close the last trading session at $55.91.
KR's bright prospects are reflected in its POWR Ratings. The stock has an overall rating of A, which translates to a Strong Buy in our proprietary rating system.
It also has a B grade for Value and Quality. Within the same A-rated industry, it is ranked #10. <a href="https://stocknews.com/stock/KR/">Click here</a> to see KR's ratings for Growth, Momentum, Stability, and Sentiment.
Stock #1: Target Corporation (<a href="https://stocknews.com/stock/TGT/">TGT</a>)
TGT is a general merchandise retailer selling products through physical stores and digital platforms. The company offers a broad range of everyday essentials and stylish, unique items at competitive prices. Most stores feature diverse merchandise, including apparel, beauty and household essentials, food and beverages, hardlines, and home furnishings.
On June 24, the company partnered with Shopify Inc. (<a href="https://stocknews.com/stock/SHOP/">SHOP</a>) to enhance its Target Plus marketplace with new, curated products from popular Shopify merchants like True Classic and Caden Lane. This collaboration is expected to expand Target Plus's online offerings and bring select Shopify products into Target's physical stores, providing shoppers with a wider range of affordable, high-quality brands.
The stock's trailing-12-month ROTA of 8.01% is 82.1% higher than the industry average of 4.40%. Similarly, its 33.97% trailing-12-month ROCE is 218.4% above the industry average of 10.67%. Also, its trailing-12-month asset turnover ratio of 1.97x compares favorably to the industry average of 0.85x.
In terms of forward non-GAAP P/E, TGT is trading at 15.93x, 13.2% lower than the industry average of 18.34x. Likewise, the stock's forward EV/Sales and Price/Sales multiples of 0.80 and 0.65 are 54.1% and 51.6% lower than their respective industry averages of 1.74 and 1.35.
TGT's total revenue for the fiscal second quarter (ended August 3, 2024) amounted to $25.45 billion, up 2.7% year-over-year. The company's net earnings for the quarter amounted to $1.19 billion or $2.57 per share, representing an increase of 42.7% and 42.4% from the same period last year. In addition, its EBITDA increased to $2.39 billion from $1.89 billion recorded in the same period last year.
For the full year, the company expects a 0% to 2% rise in comparable sales and forecasts its adjusted EPS to range between $9.00 and $9.70 (up from the prior range of $8.60 to $9.60).
The consensus revenue estimate of $25.94 billion for the fiscal third quarter (ending October 2024) represents a 2.1% increase year-over-year. The consensus EPS estimate of $2.29 for the same quarter indicates a 9.1% improvement year-over-year. The company has an impressive earnings surprise history; it surpassed the consensus EPS estimates in three of the trailing four quarters.
Over the past year, the stock has gained 23.1%, closing the last trading session at $151.36.
TGT's strong fundamentals are reflected in its POWR Ratings. The stock has an overall rating of A, which translates to a Strong Buy in our proprietary rating system.
It has a B grade for Value, Momentum, Sentiment, and Quality. Out of 37 stocks in the Grocery/Big Box Retailers industry, TGT is ranked #7. <a href="https://stocknews.com/stock/TGT/">Click here</a> to see TGT's rating for Growth and Stability.
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TGT shares were trading at $152.28 per share on Monday afternoon, up $0.92 (+0.61%). Year-to-date, TGT has gained 10.19%, versus a 19.08% rise in the benchmark S&amp;P 500 index during the same period.
<hr><div style="clear:both;"></div> <h2>About the Author: Shweta Kumari</h2> <img src='https:/wp-content/uploads/2022/03/Shweta-Kumari_Image-2.jpg' style="float:left; padding:5px;width:125px;">Shweta's profound interest in financial research and quantitative analysis led her to pursue a career as an investment analyst. She uses her knowledge to help retail investors make educated investment decisions.<a href="https://stocknews.com/authors/?author=shweta-kumari">More...</a>The post <a href=https://stocknews.com/news/tgt-kr-aci-shop-3-high-quality-retail-stocks-trading-at-a-discount/>3 High-Quality Retail Stocks Trading at a Discount</a> appeared first on <a href=https://stocknews.com/>StockNews.com</a>

3 High-Quality Retail Stocks Trading at a Discount

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