Shopify's Growth Potential and Restructuring Amid Layoffs and Flexport Deal
KeyBanc analyst Josh Beck has raised Shopify's EBIT forecasts and increased the price target to $65 from $55, citing the recently-inked Flexport deal as likely to boost merchant fulfillment options and sharpen the core focus of Shopify. The analyst also believes that Shopify's cloud-based, mobile-centric platform is well-positioned to capitalize on the m-com wave, given an impressive innovation velocity and vibrant partner ecosystem. The company is expected to benefit from increased payment penetration in non-core geographies, which is likely to propel Merchant Solutions revenue growth.