Why is Shopify's stock still down for the year despite the revival?

The market may not have fully priced in the fundamental improvements, or macroeconomic concerns may be weighing on the stock.

When is Shopify's next earnings report?

Shopify is expected to report second-quarter earnings in July 2026.

Shopify's $120 Billion Revival Catches Shorts Off Guard

Shopify (SHOP) is experiencing a $120 billion market cap revival, with operating income growth near 90% and billions in share buybacks, while its stock remains down for the year. This disconnect puts short sellers on edge before the July earnings report.

July 14, 2026

2 min read

Source: 24/7 Wall St.

Key Numbers

operating income growth

~90%

market cap revival

$120B

stock performance ytd

deep red

Shopify (SHOP) is staging a remarkable revival, with its market capitalization surging by about $120 billion, fueled by nearly 90% growth in operating income and massive share buybacks. Yet the stock remains in the red for the year, creating tension among short sellers.

Details

According to a report from 24/7 Wall St., Shopify is posting operating income growth of nearly 90% and buying back billions of dollars in stock. This strong performance contrasts with the stock's year-to-date decline, suggesting the market has not yet priced in these fundamental improvements.

Context

The revival comes after a period of challenges for Shopify, including a slowdown in e-commerce growth post-pandemic. However, the company has focused on improving profitability and restructuring operations, leading to these positive results. Investors are watching closely for the July earnings report to see if the momentum continues.

What This Means for Investors

Investors are weighing whether this revival is sustainable or temporary. If operating income growth and buybacks persist, the stock could rally. However, macroeconomic headwinds and potential slowdown in consumer spending remain risks.

Frequently Asked Questions

The revival is driven by nearly 90% operating income growth and billions in share buybacks.

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This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.