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Why Traders Just Made A Big Negative Bet On Shopify (SHOP) Before Earnings

Shopify Inc. (NASDAQ:SHOP) is among the 10 High Growth Canadian Stocks to Buy Now.

On April 9, bearish options flow was noted in Shopify Inc. (NASDAQ:SHOP), with 12,004 puts trading, roughly four times normal volume. The most active contracts were May $80 puts and weekly May $75 puts, while the put/call ratio climbed to 5.19. Although some traders appear cautious ahead of earnings expected on May 7, heavy short-term hedging activity often emerges around high-profile growth names and can create attractive entry points for long-term investors. Volatility around earnings frequently reflects uncertainty rather than deterioration in fundamentals, and Shopify has repeatedly demonstrated an ability to outperform expectations over time.

On April 6, Wells Fargo lowered its price target on Shopify Inc. (NASDAQ:SHOP) to $166 from $191 while maintaining an Overweight rating. Importantly, the firm reiterated confidence that “agentic commerce” — AI-powered automated shopping and selling experiences — will become a meaningful growth driver, with Shopify positioned as one of the prime beneficiaries. That view highlights the company’s strategic advantage as merchants increasingly adopt AI tools for storefront creation, customer service, logistics, and conversion optimization.

Shopify Inc. (NASDAQ:SHOP) is one of the world’s leading cloud-based commerce platforms, enabling millions of merchants to build, customize, and scale online businesses across web, mobile, social media, and physical retail channels. Founded in 2006 and headquartered in Ottawa, Canada, the company has evolved from a website builder into a full-scale commerce ecosystem spanning payments, fulfillment, advertising, lending, and enterprise solutions.

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.

READ NEXT: 13 Best Crude Oil Stocks to Buy According to Analysts and 8 Best Up and Coming Semiconductor Stocks to Buy.

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The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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