Growth remains strong (avg 100/100), but valuation is pulling the composite down (avg 40/100).
Broad-market heuristics · Not a buy/sell signal
Valuation and growth
Valuation
Growth
Above 30x, priced for sustained outperformance
Above 30x, cash flow yield is thin
Above 10% CAGR, strong compounder
Above 10% CAGR, strong compounder
Business Quality & Capital Allocation
Mild dilution under 2%
Expanded 3+pp, strong improvement
Net cash position, no leverage concern
10–15%, respectable returns
Shopify (SHOP) quality: score, margins and returns
Shopify (SHOP) scores 77/100 on Intrinsiqq's quality score (a solid business), a weighted blend of 8 metrics each scored 0 to 100, on 14.7% operating margins and 12.8% ROIC. Every metric is computed from SEC filings; this is analysis, not investment advice.
Frequently asked
Is Shopify (SHOP) a high-quality business?+
Shopify scores 77 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which rates it a solid business on these measures. Recent figures include a 14.7% operating margin and a 12.8% return on invested capital. Quality and price are separate questions: even a great business can be a poor investment if you overpay, so read this score alongside the valuation. The metric-by-metric breakdown is on this scorecard.
What does Shopify's quality score measure?+
Intrinsiqq's quality score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, change in share count, and balance-sheet strength, each computed from SHOP's SEC filings rather than opinion or sentiment. A higher score means a more durable, capital-efficient business; it is not a buy or sell signal. Open each metric on this page to see exactly where Shopify scores well and where it falls behind.
What is Shopify's return on invested capital (ROIC)?+
Shopify earns about 12.8% on its invested capital, which is solid. ROIC measures how much profit a company generates per dollar put to work; sustained ROIC above its cost of capital is one of the clearest signs of a real competitive moat. Compare it to SHOP's margins and growth on this scorecard to judge durability.
How profitable is Shopify?+
Shopify runs an operating margin of about 14.7% and a net margin of about 15.1%. Revenue has grown at roughly 156.0% a year recently. High, stable margins usually point to pricing power and operating discipline. Margins are most telling next to growth and returns on capital, all of which feed this quality score. This is analysis from SEC filings, not investment advice.
SourceQuality score computed from the 10-Q filed 3 Nov 2026, covering the period ending 30 Sept 2026, as reported to the SEC. Data last refreshed 4 Nov 2026. How this is calculated.
Fiscal year ends Dec. Sector medians are approximate S&P 500 benchmarks and update periodically. Checks use broad-market heuristics, so sector norms may differ, and the valuation checks are more cyclical than the quality checks.
Peers
Services-Prepackaged Software · Pick stocks to compare with SHOP
Held by ETFs
SHOP is in 199 US ETFs. The largest of them, with SHOP's weight in each:
Vanguard Total International Stock ETFVXUS0.40%of the fund
Invesco QQQ Trust, Series 1QQQ0.60%of the fund
Vanguard FTSE Developed Markets ETFVEA0.56%of the fund
Vanguard Total World Stock ETFVT0.15%of the fund
Invesco NASDAQ 100 ETFQQQM0.64%of the fund
Vanguard FTSE All-World ex-US Index Fund ETF SharesVEU0.44%of the fund
Spot a number that looks wrong? Check it in SHOP's SEC filings or
Download this analysis as a PDF (Pro)
Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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