Shopify is partnering with several cloud providers including Microsoft (MSFT)
The shares of Shopify Inc (NYSE:SHOP) are up 1.5% at $1,420.51 this morning, following the e-tailer’s announcement that it is partnering with several cloud providers, including Microsoft (MSFT) and Oracle (ORCL) to assist businesses using the Shopify service in streamlining their operations through a global enterprise resource planning (ERP) program. Several tools from the cloud providers teaming up with SHOP will be integrated into the platform for users.
The equity has been chopping higher for most of the year, adding 23.6% in 2021, to touch a record high of $1,650 in late July. The shares cooled from this area for the remainder of the third quarter, turning in a 7.2% loss for that time period. However, a floor at the 200-day moving average captured most of this pullback, and now the equity is eyeing its highest close of the month so far.
While analysts are mostly bullish, there are still plenty member of the brokerage bunch that remain cautious. Of the 27 in coverage, 16 say “buy” or better, and 11 say “hold” or worse. Meanwhile, the 12-month consensus price target of $1,700.68 is a 21.6% premium to last night’s close.
Over in the options pits, however, puts have been popular. In fact, at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), SHOP sports a 50-day put/call volume ratio of 0.96, which stands higher than 96% of readings from the past year. In other words, long puts are being picked up at a much quicker-than-usual clip.