Shopify Inc. 🇨🇦
SHOP • Consumer / E-Commerce • Canada
📊 Proprietary 12-Point Fundamental Audit
| Audit Dimension | Benchmark Criterion | SHOP Actual | Evaluation |
|---|---|---|---|
| 1. Economic Moat Strength | Software lock-in / high switching barrier / patent moat | Moat Score 82.0/100 | ✅ WIDE MOAT |
| 2. Pricing Power & Margins | Gross Margin > 40% sustainable | 47.8% Gross Margin | ✅ PASSED |
| 3. Revenue Acceleration | YoY Top-Line Growth > 15% | +26.0% YoY | ✅ PASSED |
| 4. Peter Lynch PEG Ratio | PEG < 1.2x (Growth at a Reasonable Price) | 1.25x PEG Ratio | ⚠️ ELEVATED |
| 5. Fortress Balance Sheet | Debt / EBITDA < 2.5x | 0.8x Net Leverage | ✅ PASSED |
| 6. Free Cash Flow Generation | Positive and compounding FCF | $1.2B Free Cash Flow | ✅ PASSED |
| 7. Multiple vs Sector Median | Forward P/E reasonable vs earnings growth | Forward P/E: 45.0x | ✅ ATTRACTIVE MULTIPLE |
| 8. Management & Insider Ownership | Insider Ownership > 3% | 8.5% Insider Equity | ✅ ALIGNED |
| 9. Superinvestor Whale Backing | Held by Top 25 13F Wall St Whales | Institutional Superinvestor Interest | ℹ️ SCREENED |
| 10. Secular Industry Tailwinds | Exposure to multi-year compound themes | Consumer / E-Commerce sector expansion | ✅ PASSED |
| 11. Trailing P/E Multiple | Historical earnings multiple sanity | Trailing P/E: 62.0x | ✅ PASSED |
| 12. Overall Moat Conviction | Composite algorithmic evaluation | Overall Score: 82.0/100 | ✅ HIGH CONVICTION |
📝 MoatPicks Investment Thesis
Competitive Moat Breakdown: Commerce infrastructure for 2M+ global merchants with take-rate expansion and +26% YoY revenue growth.
Valuation Verdict: Trading at a Forward P/E of 45.0x and PEG ratio of 1.25x, Shopify Inc. satisfies core fundamental screens for quality and durability.
📊 Frequently Asked Questions & Related Moat Stocks
1. What is Shopify Inc. (SHOP)'s Economic Moat Score in 2026?
In 2026, Shopify Inc. (SHOP) holds a proprietary MoatPicks Economic Moat Score™ of 82.0/100 (Wide Economic Moat). This 12-point fundamental audit evaluates SHOP's 47.8% gross margin, $1.2B free cash flow generation, +26.0% YoY revenue growth, and 0.8x Debt/EBITDA ratio. You can benchmark any stock's competitive durability interactively with our Economic Moat Score™ Checker.
2. Is SHOP stock undervalued right now based on P/E and PEG ratio?
Shopify Inc. (SHOP) trades near fair institutional value with a Forward P/E of 45.0x and a PEG ratio of 1.25x, supported by +26.0% YoY revenue growth. At a share price of $105.3, investors can stress-test SHOP's fair value using the MoatPicks Economic Moat Score™ Checker and FIRE compounding calculators. Model how compounding SHOP fits your long-term retirement target in our FIRE Financial Independence Calculator.
3. Which superinvestors and 13F hedge funds own SHOP stock?
Shopify Inc. (SHOP) is actively monitored across our 25 tracked 13F superinvestor portfolios and institutional quality screens. Institutional capital focuses on SHOP's 47.8% gross margin, $1.2B free cash flow, and 0.8x Debt/EBITDA balance sheet.