Shopify (SHOP) Climbs 7.5% as Analysts Issue Positive Ratings, PT

We recently published 10 Stocks Delivering Massive Returns. Shopify Inc. (NASDAQ:SHOP) was one of the best performers on Tuesday.

Shopify extended its winning streak to a third consecutive day on Tuesday, jumping 7.47 percent to close at $127.24 apiece as investors digested a mix of rating and price target upgrades from investment firms ahead of the e-commerce operator’s earnings release.

In its market report, ATB Cormark Capital raised its rating for Shopify Inc. (NASDAQ:SHOP) to “outperform” from “sector perform” previously, while maintaining a $250 price target, saying that the latter is in an attractive territory and is well positioned to be a capital light beneficiary from the booming AI.

Meanwhile, another investment firm, BMO, reiterated its “outperform” rating for the stock, albeit slashing its price target to $150 from $190 previously.

The rating upgrade was based on expectations that the company would post a solid earnings performance in the last quarter of the year, driven by sustained market share gains against US holiday e-commerce sales that modestly exceeded expectations.

Shopify Inc. (NASDAQ:SHOP) is scheduled to release its financial and operating highlights on Wednesday, February 11.

Shopify Climbs 7.5% as Analysts Issue Positive Ratings, PT

Lastly, Shopify Inc. (NASDAQ:SHOP) was issued a “buy” recommendation from equity research firm MoffettNathanson, an upgrade from “neutral” previously. It also received a higher price target of CA$203.57 versus CA$171.94 earlier.

While we acknowledge the risk and potential of SHOP as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SHOP and that has 10,000% 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.