WallStSmart

Shopify Inc (SHOP)vsSimilarWeb Ltd (SMWB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Shopify Inc generates 4389% more annual revenue ($13.27B vs $295.61M). SHOP leads profitability with a 14.5% profit margin vs -7.4%. SHOP earns a higher WallStSmart Score of 62/100 (C+).

SHOP

Buy

62

out of 100

Grade: C+

Growth: 10.0Profit: 7.5Value: 4.0Quality: 8.5
Piotroski: 3/9Altman Z: 6.61

SMWB

Avoid

27

out of 100

Grade: F

Growth: 6.0Profit: 2.5Value: 6.7Quality: 2.5
Piotroski: 3/9Altman Z: -1.57
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SHOPUndervalued (+22.9%)

Margin of Safety

+22.9%

Fair Value

$151.66

Current Price

$128.79

$22.87 discount

UndervaluedFair: $151.66Overvalued
SMWBUndervalued (+59.5%)

Margin of Safety

+59.5%

Fair Value

$9.61

Current Price

$8.07

$1.54 discount

UndervaluedFair: $9.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SHOP5 strengths · Avg: 9.8/10
Revenue GrowthGrowth
33.7%10/10

Revenue surging 33.7% year-over-year

EPS GrowthGrowth
68.1%10/10

Earnings expanding 68.1% YoY

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
6.6110/10

Safe zone — low bankruptcy risk

Market CapQuality
$188.28B9/10

Large-cap with strong market position

SMWB0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

SHOP4 concerns · Avg: 2.8/10
Price/BookValuation
13.1x4/10

Trading at 13.1x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.612/10

Expensive relative to growth rate

P/E RatioValuation
98.0x2/10

Premium valuation, high expectations priced in

SMWB4 concerns · Avg: 3.3/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$780.12M3/10

Smaller company, higher risk/reward

Operating MarginProfitability
1.4%3/10

Operating margin of 1.4%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : SHOP

The strongest argument for SHOP centers on Revenue Growth, EPS Growth, Debt/Equity. Revenue growth of 33.7% demonstrates continued momentum.

Bull Case : SMWB

SMWB has a balanced fundamental profile.

Bear Case : SHOP

The primary concerns for SHOP are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 98.0x leaves little room for execution misses.

Bear Case : SMWB

The primary concerns for SMWB are EPS Growth, Market Cap, Operating Margin. Debt-to-equity of 2.01 is elevated, increasing financial risk.

Key Dynamics to Monitor

SHOP profiles as a growth stock while SMWB is a turnaround play — different risk/reward profiles.

SHOP carries more volatility with a beta of 2.62 — expect wider price swings.

SHOP is growing revenue faster at 33.7% — sustainability is the question.

SHOP generates stronger free cash flow (654M), providing more financial flexibility.

Bottom Line

SHOP scores higher overall (62/100 vs 27/100) and 33.7% revenue growth. SMWB offers better value entry with a 59.5% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Shopify Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Shopify Inc., a commerce company, offers a commerce and service platform in Canada, the United States, the United Kingdom, Australia, Latin America, and internationally. The company is headquartered in Ottawa, Canada.

SimilarWeb Ltd

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Similarweb Ltd. provides website traffic solutions through AI-driven data analytics globally. The company is headquartered in Tel Aviv, Israel.

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