Is Shopify Stock a Good Buy While It's Trading Around $200?

Walmart, Amazon, and Target reported Q2 earnings showing AI-driven sales growth. Walmart's eCommerce grew 23%, with AI assistant users spending 40% more. Amazon's Alexa for Shopping saw active users nearly double. Target's digital traffic from AI platforms grew over 3.5x faster than the industry average. Albertsons saw a 10-26% increase in order value with AI tools. Shopify's AI-referred traffic and orders tripled, but AI's impact on discovery-driven retail remains uncertain.

Shopify (SHOP) shares fell 2.6% after Phillip Securities downgraded the stock from Buy to Accumulate, while raising its price target to $170 from $160. Analyst Helena Wang cited recent price action. The firm lifted fiscal 2026 revenue and profit forecasts by 3% and 1%. Shopify’s Q2 revenue rose 34% YoY, with merchant solutions and Shopify Payments contributing.

RBC and BMO said they agreed to jointly sell Moneris Solutions Corp. to California-based Francisco Partners for about $2 billion in cash, with each lender taking a 50% share. The deal raises Canadian data sovereignty concerns. Moneris processes over $5 billion in transactions annually across 325,000 commerce points; regulatory approvals are needed, with expected close by end of fiscal Q1 2027.

Shopify (SHOP) reported Q2 2026 revenue of $3.6 billion, up 34% year over year, with GMV of $115.6 billion, up 32%. Free cash flow was $654 million, an 18% margin. Merchant Solutions revenue rose 37% to $2.8 billion, and Subscription Solutions revenue rose 22% to $802 million. Management guided Q3 revenue growth in the low-thirties % range.

Sea Limited shares rose about 13.8% to around $130.65 after the company reported quarterly results. Sea said revenue was $7.10B, up 46.6% YoY, and adjusted EBITDA exceeded $1B for the first time. Shopee, Monee, and Garena all grew, with management reiterating Shopee GMV growth around 25%.

Shopify shares rose nearly 30% after the company forecast strong growth and reported Q2 results. According to Shopify, revenue grew 34% to $3.6B, GMV rose 32% to $115.6B, operating income increased 68% to $488M, and free cash flow rose 55% to $654M. Shopify expects Q3 revenue growth of over 30% y/y and said AI-agent traffic and orders tripled y/y in Q2.