Why Shopify Stock Is Trading Higher

Shopify Inc SHOP shares are trading higher Monday amid positive analyst coverage. 

What Happened: MoffettNathanson analyst Michael Morton upgraded Shopify from a Market Perform rating to an Outperform rating and announced a $76 price target. Mizuho analyst Siti Panigrahi also issued a note on Shopify. The analyst raised the price target from $55 to $65.

The analyst updates come as the company is gearing up to report second-quarter earnings. Earlier this month, analysts at Roth MKM highlighted positive channel checks suggesting growth acceleration at Shopify. Based on the findings, the analyst firm noted that second-quarter estimates could be conservative.

Shopify is scheduled to report financial results after the market close on Aug. 2. The company is expected to report earnings of 6 cents per share on quarterly revenue of $1.62 billion, according to Benzinga Pro estimates. 

See Also: Why Are Kodiak Sciences Shares Trading Lower Today?

SHOP Price Action: Shopify shares were up 2.2% at $67 at the time of publication, according to Benzinga Pro.

Photo: Open Grid Scheduler from Flickr.