Shopify is called an underappreciated AI play

June 06, 2025 04:41 AM PDT | By EODHD

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Shopify is called an underappreciated AI play — Image source: Kalkine Media

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[Shopify sign on their headquarters building in Ottawa, Ontario, Canada] JHVEPhoto Wells Fargo singled out Shopify (NASDAQ:SHOP [https://seekingalpha.com/symbol/SHOP]) as an underappreciated AI play in a note published on Friday. Analyst Andrew Bauch said the firm views Shopify (NASDAQ:SHOP [https://seekingalpha.com/symbol/SHOP]) as one of the names in the Fintech universe that can be seen as a thematic AI story. The AI thesis on Shopify (SHOP [https://seekingalpha.com/symbol/SHOP]) was based on the company's staunch commitment to leveraging AI internally, its differentiated AI-powered merchant solutions, and growing partnerships with the most important AI names in the industry, such as OpenAI, META Platforms (META [https://seekingalpha.com/symbol/META]), and Perplexity. Bucking the theory that the AI wave is a threat to Shopify (SHOP [https://seekingalpha.com/symbol/SHOP]), Wells Fargo said it sees layers of opportunity for the Canadian company via use cases, efficiencies, and adoption. Shopify (SHOP [https://seekingalpha.com/symbol/SHOP]) is seen as an obvious beneficiary of the AI wave pushing even more retail sales to e-commerce channels.

"We believe SHOP's strong product lineup and strategic partnerships in AI position the company to capture a similar share in agentic commerce (low to mid-teens) as traditional U.S. eComm (high teens). Given our projected $505B GMV opportunity for agentic commerce by 2030 (growing ~30% from today annually, similar to early days eComm), we estimate ~12.5% market share could drive MSD-HSD upside to SHOP's GMV vs. current Street estimates." Wells Fargo kept an Overweight rating on Shopify (SHOP [https://seekingalpha.com/symbol/SHOP]) in place and boosted its price target to $125 from $107. Shares of Shopify (SHOP [https://seekingalpha.com/symbol/SHOP]) edged 0.7% higher in premarket trading on Friday to $105.03 vs.

the 52-week range of $48.56 to $129.38. MORE ON SHOPIFY INC * Shopify: Wait For A Drop [https://seekingalpha.com/article/4789927-shopify-wait-for-a-drop] * Shopify: Great Execution, Sky High Valuation [https://seekingalpha.com/article/4786860-shopify-great-execution-sky-high-valuation] * Shopify: Don't Make The Same Mistake Chasing The Highs Again (Rating Downgrade) [https://seekingalpha.com/article/4785974-shopify-dont-make-same-mistake-chasing-highs] * Top 10 percentage gainers on the Nasdaq 100 as Wall Street surges [https://seekingalpha.com/news/4452626-top-10-percentage-gainers-on-the-nasdaq-100-as-wall-street-surges] * Shopify celebrates its 10-year IPO anniversary with more AI announcements [https://seekingalpha.com/news/4451077-shopify-celebrates-its-10-year-ipo-anniversary-with-more-ai-announcements]

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