The post Shopify stock soars 25% as Q3 earnings double appeared on BitcoinEthereumNews.com.

Key points Shopify stock soared 25% higher on Tuesday, making it one of the biggest movers. The jump was fueled by robust Q3 earnings, which saw adjusted earnings double. Is Shopify stock a buy? The e-commerce platform has had six straight quarters of 25% year-over-year revenue growth. Shopify (NYSE: SHOP) stock was the biggest movers on Tuesday, skyrocketing more than 25% on the day to about $113 per share. The e-commerce platform generated $2.16 billion in revenue in the quarter, up 26% year-over-year and ahead of analysts’ estimates of $2.11 billion. It was the sixth straight quarter with greater than 25% revenue growth. Net income rose 15% to $828 million, but the preferred non-GAAP adjusted earnings spiked 99% to $344 million, or 64 cents per share. That crushed estimates of 27 cents per share. The adjusted earnings exclude the impact of equity investments in third parties, which are not relevant to the fundamentals of the business or indicative of operating earnings. With today’s meteoric rise, Shopify stock is up about 53% year-to-date to around $113 per share. GMV jumps 24% The strong Q3 earnings were driven by robust activity on its shopping platform, combined with sound expense management. Specifically, Shopify saw a 24% rise in gross merchandise volume, or GMV, to $69.7 billion, which beat estimates of $67.5 billion. The GMV represents the dollar value of orders facilitated through the Shopify platform. Further, its monthly recurring revenue (MRR), which is the number of merchants multiplied by the average monthly subscription plan fee, jumped 28% year-over-year to $175 million. Overall, Shopify’s subscription solutions revenue climbed 25% to $610 million in the quarter while its merchant solutions arm saw revenue increase 26% to $1.55 billion, which beat estimates of $1.52 billion. In addition, Shopify was able to keep expenses in check, as…

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Filed under: News - @ November 13, 2024 5:17 am