SHOP vs. WIT: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at SHOP and WIT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
SHOP is a standard domestic listing, while WIT trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.
| Symbol | SHOP | WIT |
|---|---|---|
| Company Name | Shopify Inc. | Wipro Limited |
| Country | Canada | India |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | IT Services | IT Services |
| Market Capitalization | 182.54 billion USD | 27.80 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | May 20, 2015 | October 19, 2000 |
| Security Type | Common Stock | ADR |
Historical Performance
This chart compares the performance of SHOP and WIT 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 | WIT |
|---|---|---|
| 5-Day Price Return | -0.15% | -0.49% |
| 13-Week Price Return | 28.83% | -8.79% |
| 26-Week Price Return | 42.51% | -10.70% |
| 52-Week Price Return | 87.62% | -11.04% |
| Month-to-Date Return | 5.19% | 0.85% |
| Year-to-Date Return | 39.76% | -20.18% |
| 10-Day Avg. Volume | 7.93M | 10.25M |
| 3-Month Avg. Volume | 7.76M | 8.82M |
| 3-Month Volatility | 57.32% | 21.86% |
| Beta | 2.75 | 0.68 |
Profitability
Return on Equity (TTM)
SHOP
20.91%
IT Services Industry
- Max
- 32.78%
- Q3
- 19.28%
- Median
- 13.86%
- Q1
- 5.50%
- Min
- -10.00%
In the upper quartile for the IT Services industry, SHOP’s Return on Equity of 20.91% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
WIT
15.98%
IT Services Industry
- Max
- 32.78%
- Q3
- 19.28%
- Median
- 13.86%
- Q1
- 5.50%
- Min
- -10.00%
WIT’s Return on Equity of 15.98% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
SHOP
23.42%
IT Services Industry
- Max
- 19.71%
- Q3
- 11.01%
- Median
- 6.66%
- Q1
- 2.96%
- Min
- -6.22%
SHOP’s Net Profit Margin of 23.42% is exceptionally high, placing it well beyond the typical range for the IT Services industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
WIT
15.08%
IT Services Industry
- Max
- 19.71%
- Q3
- 11.01%
- Median
- 6.66%
- Q1
- 2.96%
- Min
- -6.22%
A Net Profit Margin of 15.08% places WIT in the upper quartile for the IT Services industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin (TTM)
SHOP
12.40%
IT Services Industry
- Max
- 22.44%
- Q3
- 14.90%
- Median
- 8.82%
- Q1
- 4.91%
- Min
- -9.89%
SHOP’s Operating Profit Margin of 12.40% is around the midpoint for the IT Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
WIT
16.91%
IT Services Industry
- Max
- 22.44%
- Q3
- 14.90%
- Median
- 8.82%
- Q1
- 4.91%
- Min
- -9.89%
An Operating Profit Margin of 16.91% places WIT in the upper quartile for the IT Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | SHOP | WIT |
|---|---|---|
| Return on Equity (TTM) | 20.91% | 15.98% |
| Return on Assets (TTM) | 17.30% | 10.44% |
| Net Profit Margin (TTM) | 23.42% | 15.08% |
| Operating Profit Margin (TTM) | 12.40% | 16.91% |
| Gross Profit Margin (TTM) | 49.34% | 30.34% |
Financial Strength
Current Ratio (MRQ)
SHOP
3.85
IT Services Industry
- Max
- 3.17
- Q3
- 2.00
- Median
- 1.47
- Q1
- 1.05
- Min
- 0.52
SHOP’s Current Ratio of 3.85 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.
WIT
2.40
IT Services Industry
- Max
- 3.17
- Q3
- 2.00
- Median
- 1.47
- Q1
- 1.05
- Min
- 0.52
WIT’s Current Ratio of 2.40 is in the upper quartile for the IT Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
Debt-to-Equity Ratio (MRQ)
SHOP
0.08
IT Services Industry
- Max
- 3.11
- Q3
- 1.55
- Median
- 0.55
- Q1
- 0.17
- Min
- 0.00
Falling into the lower quartile for the IT Services industry, SHOP’s Debt-to-Equity Ratio of 0.08 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
WIT
0.18
IT Services Industry
- Max
- 3.11
- Q3
- 1.55
- Median
- 0.55
- Q1
- 0.17
- Min
- 0.00
WIT’s Debt-to-Equity Ratio of 0.18 is typical for the IT Services 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
- 0.77
- 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.
WIT
--
IT Services Industry
- Max
- 129.00
- Q3
- 56.00
- Median
- 11.69
- Q1
- 0.77
- Min
- -28.15
Interest Coverage Ratio data for WIT is currently unavailable.
Financial Strength at a Glance
| Symbol | SHOP | WIT |
|---|---|---|
| Current Ratio (MRQ) | 3.85 | 2.40 |
| Quick Ratio (MRQ) | 3.85 | 2.34 |
| Debt-to-Equity Ratio (MRQ) | 0.08 | 0.18 |
| Interest Coverage Ratio (TTM) | -0.29 | -- |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
SHOP
0.00%
IT Services Industry
- Max
- 2.79%
- Q3
- 1.76%
- Median
- 0.58%
- 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.
WIT
0.21%
IT Services Industry
- Max
- 2.79%
- Q3
- 1.76%
- Median
- 0.58%
- Q1
- 0.00%
- Min
- 0.00%
WIT’s Dividend Yield of 0.21% is consistent with its peers in the IT Services industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
SHOP
0.00%
IT Services Industry
- Max
- 107.85%
- Q3
- 52.62%
- Median
- 22.53%
- 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.
WIT
175.79%
IT Services Industry
- Max
- 107.85%
- Q3
- 52.62%
- Median
- 22.53%
- Q1
- 0.00%
- Min
- 0.00%
At 175.79%, WIT’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the IT Services industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.
Dividend at a Glance
| Symbol | SHOP | WIT |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.21% |
| Dividend Payout Ratio (TTM) | 0.00% | 175.79% |
Valuation
Price-to-Earnings Ratio (TTM)
SHOP
82.80
IT Services Industry
- Max
- 56.41
- Q3
- 33.17
- Median
- 23.17
- Q1
- 16.18
- Min
- 6.62
At 82.80, 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.
WIT
18.61
IT Services Industry
- Max
- 56.41
- Q3
- 33.17
- Median
- 23.17
- Q1
- 16.18
- Min
- 6.62
WIT’s P/E Ratio of 18.61 is within the middle range for the IT Services 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
19.39
IT Services Industry
- Max
- 5.99
- Q3
- 4.26
- Median
- 1.93
- Q1
- 0.97
- Min
- 0.12
With a P/S Ratio of 19.39, 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.
WIT
2.81
IT Services Industry
- Max
- 5.99
- Q3
- 4.26
- Median
- 1.93
- Q1
- 0.97
- Min
- 0.12
WIT’s P/S Ratio of 2.81 aligns with the market consensus for the IT Services 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
12.34
IT Services Industry
- Max
- 12.34
- Q3
- 7.54
- Median
- 3.84
- Q1
- 2.52
- Min
- 0.88
SHOP’s P/B Ratio of 12.34 is in the upper tier for the IT Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
WIT
3.21
IT Services Industry
- Max
- 12.34
- Q3
- 7.54
- Median
- 3.84
- Q1
- 2.52
- Min
- 0.88
WIT’s P/B Ratio of 3.21 is within the conventional range for the IT Services 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 | WIT |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 82.80 | 18.61 |
| Price-to-Sales Ratio (TTM) | 19.39 | 2.81 |
| Price-to-Book Ratio (MRQ) | 12.34 | 3.21 |
| Price-to-Free Cash Flow Ratio (TTM) | 106.86 | 16.09 |