Summary: Shopify is a leading global commerce company and a household online shopping name across the world. This guide will explain to investors how to buy Shopify stock with the help of a reputable online broker like eToro.
Highly Rated Stock Trading & Investing Platform
-
Invest in 2,800+ stocks and other assets including 70+ cryptocurrencies and commodities.
-
0% commission on buying stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.
-
Copy top-performing traders in real time, automatically.
-
eToro USA is registered with FINRA for securities trading.
About Shopify
Founded in 2006 and based in Ottawa, Canada, Shopify supports online operations of businesses in over 175 countries, including brands like Allbirds, Kylie Cosmetics, Gymshark, Staples, Heinz, Red Bull, and PepsiCo.
The platform utilizes a user-friendly and customizable interface to allow better inventory management and payment processing. Shopify supports both small and large enterprises. It claims to handle 10% of the total US e-commerce and $444 billion of assets globally.
Shopify’s stock is an S&P/TSX 60 component and trades on the TSX and NYSE under the SHOP ticker.
How to buy Shopify stock: step-by-step
You can obtain Shopify shares through a regulated brokerage in a few simple steps:
Step 1: Choose a broker
Investors first need to gain access to the stock market to buy Shopify stock. The easiest method is to use a reputable investing platform.
To securely buy Shopify stock, we recommend you consider eToro:
- Commission-free stock and ETF trading;
- 2,000+ stocks from 17 exchanges;
- Fractional shares available;
- Charting tools;
- User-friendly platform.
Highly Rated Stock Trading & Investing Platform
-
Invest in 2,800+ stocks and other assets including 70+ cryptocurrencies and commodities.
-
0% commission on buying stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.
-
Copy top-performing traders in real time, automatically.
-
eToro USA is registered with FINRA for securities trading.
For more similar investing options, consider the following guides:
- How to buy Amazon stock;
- How to buy Alibaba stock;
- How to buy PayPal stock;
- How to buy Oracle stock;
- How to buy Temu stock;
- How to buy Walmart stock.
Step 2: Open and fund your account
After you decide the right broker for you, proceed to create and verify your account. The platform will email you the proper instructions.
Next, you should deposit some funds into your new account to prepare to invest in Shopify. Typically used funding methods include bank transfers, debit or credit cards, and transaction services like PayPal.
Step 3: Decide how much you want to invest
Capping your maximum budget will protect you from spiraling debt and a potential financial catastrophe. Furthermore, you also need to make sure you have done the following:
- Paid off all high-interest debt, such as credit cards and personal loans;
- Created an emergency fund that covers at least three months of daily life expenses.
Step 4: Place your order and buy Shopify stock
Next, you should place an order and purchase shares in Shopify:
- Step 1: Log into your investing service account and find Shopify’s ticker symbol SHOP;
- Step 2: Type in the amount or the number of shares you want to purchase;
- Step 3: Select the order type (market order or limit order) and place it;
- Step 4: Confirm the trade order.
Shopify stock price today
Pros and cons of buying Shopify stock
Pros
- Rising e-commerce: As customers increasingly favor online shopping, Shopify is poised to benefit from this long-term trend;
- Varied revenue streams: Shopify extracts revenue from subscription fees, transaction fees, and additional services, providing diversified income sources;
- Growth: Shopify has experienced surging growth in recent years, and some predict this growth will continue for years to come;
- Innovation: Shopify has delivered innovations to its platform consistently, introducing new features and integrations to remain competitive and meet an increasing demand;
- Scalability: Shopify’s platform is designed with scalability in mind, allowing businesses of all sizes to start and grow their online operations.
Cons
- Market volatility: The stock market is volatile, and Shopify’s share price can significantly fluctuate;
- Small business dependency: While Shopify caters to businesses of all sizes, a disproportionally large chunk of its revenue comes from small and medium-sized businesses, which tend to be vulnerable to economic recessions;
- Competition: The e-commerce space remains fiercely competitive, with similar platforms and technology companies battling for market share;
- Regulation: Regulatory changes, especially related to data privacy and online commerce regulations, could impact Shopify’s operations and fiscal health.
Common mistakes to avoid when buying Shopify stock
Make sure to avoid these common investing mistakes:
- Lack of research: Research the trends regarding e-commerce and Shopify’s performance before investing;
- Lack of strategy: Set your goals before you spend any money;
- Staking everything on one asset: Always diversify your portfolio;
- Falling prey to scams: Avoid illegal platforms and suspicious deals;
- Fear of missing out: If the numbers do not add up, do not invest: it is better to miss out than lose money.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
FAQs about how to buy Shopify stock
When did Shopify stock split?
Shopify underwent stock split only once, in June 2022, and it was a 10:1 split.
Who are the largest shareholders of Shopify?
The largest shareholder of Spotify is its founder and CEO, Tobias Lütke, with 33.8% of voting power from shares.
What's Shopify's stock symbol?
Investors can find Shopify on the TSX and NYSE stock exchanges under the ticker SHOP.
Why is Shopify a good stock to buy?
Shopify is a leading e-commerce platform with a significant share of the total American and global e-commerce flow. As e-commerce is expected to grow in the coming years, investing in Shopify now could yield significant returns to investors.
Is Shopify a buy?
The answer depends on how much e-commerce grows in the following years and how well Shopify captures the growing demand. Make sure to do your own research before investing.
How do I buy Shopify stock?
To purchase shares in Shopify, make an account on an online brokerage platform, locate the company’s ticker, place an order, and buy the stock.
Where can I buy Shopify stock online?
You can buy Shopify stock online on the market that lists it with a reliable brokerage platform like eToro.
Highly Rated Stock Trading & Investing Platform
-
Invest in 2,800+ stocks and other assets including 70+ cryptocurrencies and commodities.
-
0% commission on buying stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.
-
Copy top-performing traders in real time, automatically.
-
eToro USA is registered with FINRA for securities trading.
