Is Shopify Inc (SHOP) the Best Non-US Stock To Buy?

Shopify Inc. (NASDAQ:SHOP) is one of the Best Non-US Stocks to Buy According to Hedge Funds. On December 17, Wells Fargo reiterated a Buy rating on the stock and raised the price target from $125 to $198. Earlier on  December 15, UBS reiterated a Hold rating on Shopify Inc. (NASDAQ:SHOP) with a $165 price target.

Wells Fargo noted that they believe the company to be an “under-earning asset”, which has a strong potential to benefit from AI-driven changes in search and product discovery. The firm expects Shopify to capture significant “demand-generation economics” in an AI-powered world. Moreover, Wells Fargo forecasts revenue and adjusted operating income estimates more than 20% and 50% above consensus levels by 2028, respectively.

​On the other hand, despite a Neutral rating, UBS continues to expect strong growth potential for the company across four main growth pillars, including International, Enterprise, In-store POS, and B2B (EII&B). The firm believes that these pillars can help the company gain significant market share over the next decade. UBS expects Shopify Inc. (NASDAQ:SHOP) to achieve a CAGR growth of 15% to 21% in GMV, along with 15% to 20% gross profit growth till 2035. These projections are based on the firm’s analysis of Shopify’s four growth pillars.

​Shopify Inc. (NASDAQ:SHOP) is a Canadian multinational commerce and financial technology company that offers a platform for e-commerce and a range of financial tools for merchants. This allows the company to offer an all-in-one e-commerce platform to start, run, and grow a business.

While we acknowledge the potential of SHOP to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than SHOP and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.