Walmart is investing to build its online retail business, and bringing products from Shopify stores on to its e-commerce platform could help both companies challenge Amazon.com's dominance in the space. Walmart will feature products from select Shopify-powered businesses directly on its website. The retail giant expects that it will be selling goods from roughly 1,200 Shopify partners by the end of this year.
Getting featured on Walmart.com has the potential to be a big sales driver for businesses using Shopify, and the partnership has added to the value of the e-commerce services company's thriving platform. Analysts were generally very bullish on the development.
RBC Capital analyst Mark Mahaney published a note on June 18 reaffirming his "outperform" rating on Shopify and raising his one-year price target on the stock from $825 to $1,000 per share. Mahaney's target suggested roughly 20% upside on the stock at the time of the note's publication, and the company's share price quickly went on to reach the analyst's valuation estimate.
No comments:
Post a Comment