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- 1 Shopify stock price decreased by 10.89% over the past seven days.
- 2 Shopify Inc. ( NYSE: SHOP) stock’s 52-week price range is $23 – $71.
Shopify’s earnings have been declining by an average of -29.4% per year, while its revenues have been growing by an average of 37.2% per year, according to the data from the financial website Simplywall. This shows that Shopify is facing some challenges in maintaining its profitability and competitiveness in the IT industry, where its earnings have been increasing by 21.5% per year.
Shopify has a low debt-to-equity ratio of 12.2%, as shown by the data from the financial website Simplywall. This means that Shopify has $0.12 of debt for every $1 of equity. This indicates that Shopify is not heavily reliant on debt financing and has a strong equity position. Shopify’s total assets are $9.7B, which is more than its total liabilities of $2.2B. This means that Shopify has enough assets to cover its obligations and has a positive net worth.
The market capitalization of SHOP stock is $74.077 Billion and the total revenue is $5.6 Billion. Moreover, the stock’s basic EPS is negative $1.59 and the price-to-earnings ratio is negative 36.7. Moreover, the average volume is 13.227 Million and the current volume is 17.06 Million, the current volume is above average volume.
Moreover, the stock has done well in the last three months, increasing by 1.10% and it has surged by 12.99% in the last six months. However, Shopify Inc. (NYSE: SHOP) stock has a positive year-to-date return of 62.31%.
Technical Analysis of Shopify Stock Price in 1-D Timeframe
The price action shows that Shopify Inc’s ( NYSE: SHOP) stock price has been on a declining trend for the last month, decreasing by 10.37%. At the time of writing, The SHOP stock price is at $57.93 and has been following the trendline closely. The price bounced off the trendline several times to continue its upward movement, but it failed and the price dropped below the trendline.
Therefore, if the SHOP price fails to sustain the current level and drops, then it might hit the nearest support levels of $54.12 and $44.76. However, if it maintains the current level, the SHOP price could continue to move upwards and reach the first and second resistance of $71.27 and $79.80.
At the time of publishing, Shopify Inc. (NYSE: SHOP) is trading above the 200-day EMA (exponential moving average), which is supporting the price trend.
However, 20, 50, and 100-day EMA is rejecting the trend if more selling volume adds up then the price might conquer supporting EMA by making lower highs and lows.
Hence, the SHOP price is expected to move upwards giving bearish views over the daily time frame chart.
The current value of RSI is 34.86 points. The 14 SMA is above the median line at 50.91 points which indicates that Shopify stock is bearish as the RSI is in bearish territory.
The MACD line at 0.5523 and signal line at 0.4675 are below the zero line and both lines have crossed in on each other. A bearish crossover is observed in the MACD oscillator which signals more bearishness for the SHOP stock price.
Summary
Shopify Inc. (NYSE: SHOP) indicates that the investors and traders of the stock price are bearish on the 1-D time frame. The price action reflects a bearish outlook at the time of publishing. The technical oscillators of the SHOP stock price also support the bearish trend. The MACD, RSI, and EMA are highlighting negative signals and imply that the downtrend may continue in SHOP stock price.
Technical Levels
- The nearest support levels for Shopify stock price are $54.12 and $44.76.
- The nearest resistance levels for Shopify stock price are $71.27 and $79.80.
Disclaimer
In this article, the views and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
Mr. Pratik chadhokar is an Indian Forex, Cryptocurrencies and Financial Market Advisor and analyst with a background in IT and Financial market Strategist. He specialises in market strategies and technical analysis and has spent over a year as a financial markets contributor and observer. He possesses strong technical analytical skills and is well known for his entertaining and informative analysis of the Financial markets.
