- Wall Street analysts are expecting Shopify Inc (NYSE: SHOP) to report a year-over-year decline in earnings on higher revenues
Wall Street analysts are expecting Shopify Inc (NYSE: SHOP) to report a year-over-year decline in earnings on higher revenues when it reports the financial results for the quarter ended March 2020, according to Zacks Equity Research. And the stock may shift up if the key numbers top expectations — which is expected to be announced on May 6.
Specifically, Shopify Inc (NYSE: SHOP) is expected to report quarterly loss of $0.18 per share in its upcoming report, a year-over-year change of -300%. And revenues are expected to be $443.65 million, up 38.4% from the quarter a year ago. And the consensus EPS estimate for the quarter was revised 5.06% lower over the past 30 days to the current level.
For the last reported quarter, Wall Street expected that Shopify would post earnings of $0.23 per share when it actually produced earnings of $0.43. And over the past 4 quarters, Shopify has beaten consensus EPS estimates four times.
Shopify is known for powering e-commerce websites for more than 1 million businesses. And recently, Shopify launched a service called Shop.
According to TechCrunch, the Shop app is a rebrand of Arrive, which is an app that tracks packages from Shopify merchants and other retailers. This platform has been used by 16 million consumers so far.
The new app includes the same package tracking features, but it also enables consumers to browse a feed of recommended products and learn more about the brands. Plus you can also make purchases with a one-click Shop Pay checkout process.
The Shop app provides customized product recommendations to each shopper and the recommendations come from brands which you might be interested.
Disclosure: I own a small number of Shopify shares
