Shopify Inc (SHOP) Stock Hits The Breakout Zone: A Bullish Sign?

The stock of E-commerce operating system company Shopify Inc (NYSE:SHOP) is flying this morning. The company produced strong financial results in the first quarter and consequently, the stock has rallied by 10% this morning. Shopify’s revenues soared by 110% year on year.

In addition to that, profits went up considerably as well due to strong subscription numbers and the investment in Affirm. Revenues came in at $988.6 million for the quarter thanks to a 71% year-on-year growth in subscription revenues.

On the other hand, merchant solutions revenues grew by 137% year on year. More importantly, the net income generated by Shopify for the quarter was $1.26 billion, which worked out to earnings per share of $9.94. Much of that was driven by the unrealized gain to the tune of $1.3 billion from the Affirm investment. The company managed to beat Wall Street’s revenue expectations comfortably as well.

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At the time of writing, Shopify stock 9.61% to $1268.05. The stock has more than doubled over the past year.

 

Richard McEntire

Finance and Entertainment ReporterRichard is a bottle of wine - the older the sweeter. He has already found the sweetest hobby in writing entertainment and finance news for Own Snap. Readers get the updated posts regularly from him searching for real-time news.


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