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SHOPShopify Inc.

What Is SHOP Fair Value?

Shopify Inc. (SHOP) fair value estimate using multiple valuation models, updated daily.

As of September 15, 2026, Shopify Inc. (SHOP) has a composite fair value estimate of $37.86 based on four valuation models: DCF (41% weight), Graham Number (29% weight), PEG (29% weight), and DDM (0% weight). The current market price is $129.86, suggesting the stock is overvalued by 70.8%.

Data as of September 15, 2026 (today)

Composite Fair Value

Overvalued3 of 4 models

$37.86

vs. current price of $129.86(-70.8%)

Undervalued$37.86Overvalued
$129.86

How Is SHOP Fair Value Calculated?

Four independent models estimate what SHOP is worth. Each uses different inputs and assumptions. The composite blends them by weight.

SHOP Intrinsic Value

Forward-looking models based on future cash flows

DCF (Discounted Cash Flow)

41% weight

Estimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →

$29.79

-77.1%

Overvalued

Inputs used

FCF: 1.6BGrowth: 25.0%Discount: 19%

DDM (Dividend Discount Model)

0% weight

If a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →

N/A

This stock does not pay a dividend, so the DDM cannot be applied. The composite adjusts by redistributing this weight to the other models.

SHOP Fair Value

Current fundamentals: earnings, assets, and growth rate

Graham Number (Value Investing)

29% weight

Created by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →

$20.57

-84.2%

Overvalued

Inputs used

EPS: $1.91Book Value: $9.84

PEG (Price/Earnings to Growth)

29% weight

Checks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.

$59.10

-54.5%

Overvalued

Inputs used

EPS: $1.91Growth: 30.9%

What If You Change the Assumptions?

Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.

Your DCF Fair Value

$29.79Overvalued

Current price $129.86 is 77.1% above this estimate

CheapFair ValueExpensive
25.0%
0.0%30.0%
18.9%
6.0%15.0%
2.5%
1.0%4.0%
15.0%
0.0%50.0%
View 10-year cash flow projections
YearProjected FCF (Free Cash Flow)Present Value
Year 1$1.98B$1.67B
Year 2$2.48B$1.76B
Year 3$3.10B$1.85B
Year 4$3.88B$1.94B
Year 5$4.85B$2.04B
Year 6$6.06B$2.15B
Year 7$7.57B$2.26B
Year 8$9.46B$2.37B
Year 9$11.83B$2.50B
Year 10$14.79B$2.62B
Terminal Value$92.58B$16.43B

What Are SHOP's Key Financial Metrics?

Earnings & Growth

Current Price

$129.86

EPS (TTM)

$1.49

Forward P/E

53.0

Profit Margin

14.5%

Cash & Balance Sheet

Free Cash Flow

1.6B

EBITDA

2.4B

Book Value

$9.84

Total Debt

178M

What Do Analysts Say About SHOP?

Low

$120.00

Average

$172.77

High

$220.00

Upside

+33.0%

Current $129.86Avg Target $172.77Buy48 analysts

SHOP Fair Value FAQ

What is the fair value of SHOP?

Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), SHOP's estimated fair value is $37.86. The stock is currently trading at $129.86, which makes it overvalued by our analysis.

How is SHOP's fair value calculated?

We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.

Is SHOP overvalued or undervalued?

Based on our analysis, SHOP is overvalued. The current price of $129.86 is 70.8% above our estimated fair value of $37.86.

What do Wall Street analysts say about SHOP?

48 analysts cover Shopify Inc. with a consensus rating of "Buy." The average price target is $172.77, ranging from $120.00 to $220.00. This implies 33.0% upside from the current price.