Shopify Stock Surges on Analyst Upgrades and Inflation Data
Shopify shares rallied 4.8% Thursday morning, buoyed by a combination of favorable inflation data and bullish analyst sentiment. The e-commerce platform's stock climbed to $169.17, nearing its 52-week high, as technology stocks broadly benefited from renewed expectations of Federal Reserve rate cuts.
Bank of America raised its price target to $190 while maintaining a Buy rating, citing strong growth and margin performance. Oppenheimer echoed the optimism, keeping its Outperform rating with a $200 target based on robust holiday shopping trends. Year-to-date, Shopify has gained 57.3% as investors reward its positioning in the digital commerce space.
The rally coincided with a lower-than-expected Consumer Price Index reading, which sparked hopes for looser monetary policy. Such conditions typically favor high-growth tech companies by reducing borrowing costs and improving valuation metrics.
