How to buy Shopify (SHOP) stock

By:

James Knight

James is a lead editor for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets. His ... read more.

Updated: Feb 21, 2023

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A big part of learning how to buy Shopify stocks is finding the best place to make your investment. Shopify stocks are available to invest in through an online stock broker, and it usually takes just a few minutes to buy shares in Shopify when following our step by step guide.

Where to buy Shopify stock?

The best stock trading platform to use to buy Shopify stock is eToro .

Based on our research, we’ve ranked the top three brokers where you can buy Shopify shares, according to how easy they are to use, how low their fees are, their safety and security rating, and average customer reviews.

Most Popular

1

Min. Deposit

$ 10

Best offer

User Score

10

Up to $240 bonus!

Deposit with ACA, Wire, Pay with my bank

Invest for dividends and get payout on stocks on Ex-Dividend day

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Payment Methods:

Bank Transfer, Credit Card, Debit Card, PayPal, Wire Transfer

Full Regulations:

CySEC, FCA

77% of retail CFD accounts lose money.

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How to buy stock in Shopify in 3 simple steps

Buying Shopify stock is quick and easy, all you need is an internet connection and a copy of your photo ID. Here’s how to do it.

Step 1. Sign up to eToro

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eToro is the best stock trading platform for beginners. Fill in your details to set up a brokerage account and attach a copy of your ID to verify it.

Most Popular

1

Min. Deposit

$ 10

Best offer

User Score

10

Up to $240 bonus!

Deposit with ACA, Wire, Pay with my bank

Invest for dividends and get payout on stocks on Ex-Dividend day

Start Trading more info

Payment Methods:

Bank Transfer, Credit Card, Debit Card, PayPal, Wire Transfer

Full Regulations:

CySEC, FCA

77% of retail CFD accounts lose money.

Step 2. Make a deposit

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Transfer money to your new account with your credit or debit card, a bank transfer, or an alternative payment method, like PayPal. The minimum deposit is £10.

Step 3. Buy Shopify shares

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Search for Shopify using the ticker, SHOP. Click the ‘trade’ button and enter the details of your investment, such as how many shares you want to buy or how much you want to spend. Hit ‘trade now’ to invest in Shopify and complete your purchase.

It’s as easy as that! You can buy Shopify shares in just 10-15 minutes and now you’re a Shopify shareholder.

Compare the best platforms to buy Shopify stock

1. eToro. Best for beginners, copy-trading & demo-account

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2900

No. assets

$10

Minimum deposit

Stocks

Platform type

Pros & Cons

Great for beginners, simple to set up and get started Zero commission stock trading Popular ‘CopyTrader’ function lets you follow top traders Excellent customer service, with live chat support provided Over 2,000 CFDs available to trade

Comparatively high fees for withdrawals and account inactivity Does not integrate with the MetaTrader platform High spreads on some assets

Overview

We love eToro because you can trade more than 3,000 stocks, commission free. When you buy stocks on eToro, you’re buying the underlying asset, which means you can earn dividends. Or you can trade fractional shares, which means you can invest in even the most expensive stock from just $10.

As well as being a broker that offers lots of investor protection, eToro offers a very social trading experience. You can easily see what’s trending on the stock market every day, browse the latest analyst opinion about every one of those stocks, and copy other people’s trade suggestions from your desktop or the eToro app.

The fees: Stock and ETF trades are commission free. Stock CFDs are charged a 0.15% spread and overnight fees can apply. You can deposit money for free but you have to pay $5 per withdrawal, and there’s a minimum withdrawal of $30. A $10 per month activity fee is charged if you don’t log in for a year.

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77% of retail CFD accounts lose money.

Fundamental analysis of Shopify shares

What is Shopify’s total worth?

Shopify’s total net worth is $55.67 billion. This is its total market capitalisation, calculated by multiplying the number of shares outstanding on a stock exchange by the current share price.

How has Shopify’s share price performed in recent years?

The current Shopify stock price today is $43.61, which is 75.52% below its all time high of $176.29, which it reached on 15 November, 2021. 

Overall, SHOP is up 199.85% over the last five years. The SHOP share price is up 22.10% in 2023 with a 52 week high of $78.00 and a 52 week low of 23.63. 

What is Shopify’s EPS?

Shopify’s EPS is $0.13]. EPS stands for earnings per share and is calculated by dividing Shopify’s net profit by the number of shares outstanding. It gives you an idea of how valuable a company is.

What is the Shopify P/E ratio?

Shopify’s P/E ratio is 335.46. The P/E, or price to earnings ratio, tells you how much you would have to pay per share for $1 of Shopify’s earnings. 

It is calculated by dividing the share price by the earnings per share. You can use Shopify’s earnings estimates to predict its future (or forward) P/E and set a target price you think the stock can reach.

What is Shopify’s dividend yield?

Shopify’s dividend yield is 0%. The dividend yield tells you how much of Shopify’s share price it gives back to shareholders in dividend payments every year. SHOP does not pay a dividend.

Is Shopify stock a buy or sell?

The indicator below shows you live technical ratings for Shopify stock on time frames from one minute to one month. 

It tracks a selection of key technical indicators on live market data, including moving averages, relative strength index (RSI), oscillators, and momentum.

This indicator should be used when you research Shopify to help you decide whether to buy Shopify shares. Past performance is no guarantee of future results. It is not investment advice or a recommendation from Invezz to buy this stock.

Is Shopify a good investment for me? 

The right answer is different for each person, so here is some information to help you decide whether to buy stocks in Shopify.

• Shopify lets anyone run an online business. Shopify is an e-commerce platform where independent businesses can host their own websites. It’s one of the biggest success stories of the past decade thanks to a simple service that offers the infrastructure, analytics and payment processing small business owners need to run an online shop.
• It is larger than eBay. Shopify’s success has already taken it past eBay in terms of spending volume and market cap. It’s now the most obvious alternative to Amazon in a market where ‘click-based shopping’ is expected to be worth a quarter of all US commerce by 2030.
• Shopify has signed deals with many leading brands. It has signed a deal with TikTok so people could ‘shop as they scroll’, and even teamed up with brands like PepsiCo and Heinz, as well as celebrities like Kylie Jenner and Kanye West, to sell through Shopify.
• Its stock price has fallen in recent years. Its share price was on a tear even before the pandemic, and across 2019 and 2020, it was up over 600%. However, its surge was short-lived and 2021 – 2022 saw its price drop back to pre-pandemic levels.
• It has work to do to keep investors happy. A lot of Shopify’s business is excellent, but tech companies with high valuations rely on continuing to post higher revenue numbers to keep investors happy.

It’s always a good idea to think about any potential risks there might be as well. Use this summary of Shopify’s pros and cons before you make a final decision on whether to buy Shopify stock.

Are there other ways to buy shares in Shopify?

Yes, you can invest in Shopify stock in a few different ways. One option is to buy stock in Shopify directly through an investment platform as laid out above, while another popular choice is to invest in a fund. 

Mutual funds provide instant diversification to your investment portfolio by investing in lots of companies at once. You can invest in a Nyse index fund to get exposure to Shopify, or choose a technology ETF.

Another option is to use a social copy trading platform, like eToro . Find a trader who you like and copy their Shopify trades directly to your own account. 

This can be a good investment strategy for beginners and a way to learn how to buy Shopify shares from someone with more experience.

What are the fees for investing in Shopify stock?

It depends on the stock broker. Some platforms charge a flat fee per trade, others charge a commission as a percentage of the total trade value each time you buy Shopify stocks.

Consider that there may be other costs to trading too. Other fees can include deposit and withdrawal fees, or inactivity fees if you don’t use your account for three months or more. 

These are the trading platforms that charge the lowest fees for buying stocks in Shopify.

How to sell Shopify stock

When you decide the time is right to sell and lock in some profit (or cut your losses), log into your broker account and navigate to your portfolio. 

From there, find your Shopify stock and you’ll see a ‘sell’ option next to it. Click that to set the details of the trade (you don’t have to sell all your stocks at once) and sell back to cash.

Should I buy Shopify stock now?

It’s your investing goals and style that define whether now is a good time to buy. The current Shopify stock price plays into it but ultimately it depends on your investment horizons.

• If you’re a short term trader: the goal is to make money by buying and selling stocks regularly to secure a profit or avoid a loss. That can mean trading hourly, daily, or weekly but the focus is always on the near future. Traders learn how to buy stocks in Shopify based on short term technical analysis and don’t hold shares for a long time, so any time can be a good time to buy SHOP.

• If you’re a long term investor: you’re more interested in long term price appreciation than whether a stock is up or down on any given day. The important thing is finding a stock with a strong foundation where you think the share price will be up over a period of months or years. If you think Shopify’s fundamentals are solid then the best time to invest in Shopify stock is after a dip or a pullback in price.

Most new traders sit somewhere between these two positions. You don’t want to actively trade Shopify stock all hours of the day but you don’t want to wait years for a return either.

Either way, following SHOP price news and analysis will help you decide when to dip your toe into the market.

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