SHOP vs. SMCI: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at SHOP and SMCI, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | SHOP | SMCI |
|---|---|---|
| Company Name | Shopify Inc. | Super Micro Computer, Inc. |
| Country | Canada | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | IT Services | Technology Hardware, Storage & Peripherals |
| Market Capitalization | 188.00 billion USD | 20.86 billion USD |
| Exchange | NasdaqGS | NasdaqGS |
| Listing Date | May 20, 2015 | March 29, 2007 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of SHOP and SMCI by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | SHOP | SMCI |
|---|---|---|
| 5-Day Price Return | -11.96% | -9.38% |
| 13-Week Price Return | -2.22% | -19.73% |
| 26-Week Price Return | 25.55% | -6.35% |
| 52-Week Price Return | 28.28% | 79.14% |
| Month-to-Date Return | -19.52% | -29.91% |
| Year-to-Date Return | 31.60% | 19.49% |
| 10-Day Avg. Volume | 10.10M | 33.59M |
| 3-Month Avg. Volume | 8.35M | 32.67M |
| 3-Month Volatility | 44.72% | 60.82% |
| Beta | 2.90 | 1.60 |
Profitability
Return on Equity (TTM)
SHOP
15.08%
IT Services Industry
- Max
- 37.08%
- Q3
- 19.28%
- Median
- 14.70%
- Q1
- 6.70%
- Min
- -8.16%
SHOP’s Return on Equity of 15.08% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
SMCI
12.46%
Technology Hardware, Storage & Peripherals Industry
- Max
- 56.93%
- Q3
- 29.31%
- Median
- 7.95%
- Q1
- 5.02%
- Min
- -7.45%
SMCI’s Return on Equity of 12.46% is on par with the norm for the Technology Hardware, Storage & Peripherals industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
SHOP
16.65%
IT Services Industry
- Max
- 17.01%
- Q3
- 11.02%
- Median
- 6.91%
- Q1
- 3.07%
- Min
- -5.13%
A Net Profit Margin of 16.65% places SHOP in the upper quartile for the IT Services industry, signifying strong profitability and more effective cost management than most of its peers.
SMCI
3.77%
Technology Hardware, Storage & Peripherals Industry
- Max
- 17.92%
- Q3
- 8.33%
- Median
- 4.15%
- Q1
- 1.88%
- Min
- -3.36%
SMCI’s Net Profit Margin of 3.77% is aligned with the median group of its peers in the Technology Hardware, Storage & Peripherals industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
SHOP
12.17%
IT Services Industry
- Max
- 23.01%
- Q3
- 15.32%
- Median
- 9.57%
- Q1
- 4.91%
- Min
- -9.58%
SHOP’s Operating Profit Margin of 12.17% is around the midpoint for the IT Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
SMCI
4.25%
Technology Hardware, Storage & Peripherals Industry
- Max
- 20.70%
- Q3
- 10.85%
- Median
- 6.05%
- Q1
- 3.54%
- Min
- -4.90%
SMCI’s Operating Profit Margin of 4.25% is around the midpoint for the Technology Hardware, Storage & Peripherals industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | SHOP | SMCI |
|---|---|---|
| Return on Equity (TTM) | 15.08% | 12.46% |
| Return on Assets (TTM) | 12.51% | 6.49% |
| Net Profit Margin (TTM) | 16.65% | 3.77% |
| Operating Profit Margin (TTM) | 12.17% | 4.25% |
| Gross Profit Margin (TTM) | 48.75% | 10.08% |
Financial Strength
Current Ratio (MRQ)
SHOP
3.93
IT Services Industry
- Max
- 3.02
- Q3
- 1.91
- Median
- 1.36
- Q1
- 1.02
- Min
- 0.49
SHOP’s Current Ratio of 3.93 is exceptionally high, placing it well outside the typical range for the IT Services industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
SMCI
5.39
Technology Hardware, Storage & Peripherals Industry
- Max
- 2.51
- Q3
- 1.90
- Median
- 1.38
- Q1
- 0.97
- Min
- 0.11
SMCI’s Current Ratio of 5.39 is exceptionally high, placing it well outside the typical range for the Technology Hardware, Storage & Peripherals industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
Debt-to-Equity Ratio (MRQ)
SHOP
0.07
IT Services Industry
- Max
- 2.55
- Q3
- 1.30
- Median
- 0.55
- Q1
- 0.14
- Min
- 0.00
Falling into the lower quartile for the IT Services industry, SHOP’s Debt-to-Equity Ratio of 0.07 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
SMCI
0.73
Technology Hardware, Storage & Peripherals Industry
- Max
- 1.34
- Q3
- 0.82
- Median
- 0.42
- Q1
- 0.16
- Min
- 0.00
SMCI’s Debt-to-Equity Ratio of 0.73 is typical for the Technology Hardware, Storage & Peripherals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
SHOP
-0.29
IT Services Industry
- Max
- 129.00
- Q3
- 56.00
- Median
- 11.69
- Q1
- 1.68
- Min
- -28.15
SHOP has a negative Interest Coverage Ratio of -0.29. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
SMCI
21.34
Technology Hardware, Storage & Peripherals Industry
- Max
- 143.63
- Q3
- 62.44
- Median
- 17.59
- Q1
- 5.32
- Min
- -23.93
SMCI’s Interest Coverage Ratio of 21.34 is positioned comfortably within the norm for the Technology Hardware, Storage & Peripherals industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | SHOP | SMCI |
|---|---|---|
| Current Ratio (MRQ) | 3.93 | 5.39 |
| Quick Ratio (MRQ) | 3.93 | 2.86 |
| Debt-to-Equity Ratio (MRQ) | 0.07 | 0.73 |
| Interest Coverage Ratio (TTM) | -0.29 | 21.34 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
SHOP
0.00%
IT Services Industry
- Max
- 4.66%
- Q3
- 2.02%
- Median
- 0.66%
- Q1
- 0.00%
- Min
- 0.00%
SHOP currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
SMCI
0.00%
Technology Hardware, Storage & Peripherals Industry
- Max
- 4.93%
- Q3
- 3.31%
- Median
- 1.70%
- Q1
- 0.01%
- Min
- 0.00%
SMCI currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio (TTM)
SHOP
0.00%
IT Services Industry
- Max
- 93.78%
- Q3
- 63.22%
- Median
- 24.64%
- Q1
- 0.00%
- Min
- 0.00%
SHOP has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
SMCI
0.00%
Technology Hardware, Storage & Peripherals Industry
- Max
- 136.56%
- Q3
- 76.58%
- Median
- 35.95%
- Q1
- 0.01%
- Min
- 0.00%
SMCI has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | SHOP | SMCI |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
SHOP
104.47
IT Services Industry
- Max
- 45.03
- Q3
- 30.25
- Median
- 21.01
- Q1
- 16.50
- Min
- 0.00
At 104.47, SHOP’s P/E Ratio is exceptionally high, exceeding the typical maximum for the IT Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
SMCI
25.56
Technology Hardware, Storage & Peripherals Industry
- Max
- 43.58
- Q3
- 27.14
- Median
- 21.23
- Q1
- 15.28
- Min
- 8.31
SMCI’s P/E Ratio of 25.56 is within the middle range for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
SHOP
17.40
IT Services Industry
- Max
- 5.24
- Q3
- 4.01
- Median
- 2.18
- Q1
- 1.08
- Min
- 0.00
With a P/S Ratio of 17.40, SHOP trades at a valuation that eclipses even the highest in the IT Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
SMCI
0.96
Technology Hardware, Storage & Peripherals Industry
- Max
- 6.35
- Q3
- 3.45
- Median
- 0.96
- Q1
- 0.46
- Min
- 0.04
SMCI’s P/S Ratio of 0.96 aligns with the market consensus for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
SHOP
15.44
IT Services Industry
- Max
- 9.42
- Q3
- 5.79
- Median
- 3.70
- Q1
- 2.30
- Min
- 0.79
At 15.44, SHOP’s P/B Ratio is at an extreme premium to the IT Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
SMCI
4.37
Technology Hardware, Storage & Peripherals Industry
- Max
- 13.94
- Q3
- 8.15
- Median
- 1.85
- Q1
- 0.94
- Min
- 0.32
SMCI’s P/B Ratio of 4.37 is within the conventional range for the Technology Hardware, Storage & Peripherals industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | SHOP | SMCI |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 104.47 | 25.56 |
| Price-to-Sales Ratio (TTM) | 17.40 | 0.96 |
| Price-to-Book Ratio (MRQ) | 15.44 | 4.37 |
| Price-to-Free Cash Flow Ratio (TTM) | 97.77 | 11.26 |