Rich Duprey
4 min read
Quick Read
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Shopify reports Q3 on Nov. 3, with Wall Street expecting 35% EPS growth and 32% revenue growth to $3.74 billion.
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Shopify and Meta partnered so merchants can sell directly inside Muse, Meta’s AI assistant, with Shop Pay handling checkout.
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Trading at 87 times 2026 earnings estimates, Shopify’s premium valuation leaves no margin for error on profitability.
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Just released. Our analysts combed the entire stock market and named the ten best stocks to buy right now, and Shopify didn’t make the cut. Enter your email to see the names that beat SHOP. The report is free. Enter your email and see if any of your stocks made the cut.
Shopify (NASDAQ:SHOP) is expected to report third-quarter results before the market opens on Nov. 3. The stock is up 16.59% over the past month, so this report will show whether AI-driven growth can keep running alongside wider margins.
A 17% Post-Earnings Pop Raises the Bar
Last quarter, revenue rose 33.7% to $3.58 billion and GMV climbed 32% to $115.57 billion. EPS of $0.32 beat the $0.28 estimate, and Jim Cramer noted the stock “soared 17%” that day. Operating income rose 67.7% to $488 million.
Since then, Shopify has pushed its AI reach further. On September 21, Shopify and Meta Platforms (NASDAQ:META) announced that merchants can sell directly inside Muse, Meta’s AI assistant, with Shop Pay handling checkout (per Seeking Alpha). Shares slipped 4.4% last week and are up only 3.03% year to date.
Management guided for third-quarter revenue growth in the low thirties, operating expenses at 33% to 34% of revenue, and a free cash flow margin in the high teens to low twenties.
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Wall Street Expects Over 30% Growth on Both Lines
Agentic Orders and Loan Losses Will Decide the Margin Story
AI is the growth engine. In the second quarter, AI-driven orders to Shopify stores tripled year-over-year, and Sidekick handled nearly 34 million conversations. Early Muse volume is worth tracking, since management said “more agentic GMV means more Shopify revenue” with no separate AI fees.
