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SHOP vs. WIT: A Head-to-Head Stock Comparison

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Here’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.

SymbolSHOPWIT
Company NameShopify Inc.Wipro Limited
CountryCanadaIndia
GICS SectorInformation TechnologyInformation Technology
GICS IndustryIT ServicesIT Services
Market Capitalization188.00 billion USD28.98 billion USD
ExchangeNasdaqGSNYSE
Listing DateMay 20, 2015October 19, 2000
Security TypeCommon StockADR

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.

SHOP vs. WIT: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolSHOPWIT
5-Day Price Return-11.96%0.95%
13-Week Price Return-2.22%1.14%
26-Week Price Return25.55%-3.08%
52-Week Price Return28.28%3.09%
Month-to-Date Return-19.52%1.31%
Year-to-Date Return31.60%-19.19%
10-Day Avg. Volume10.10M7.46M
3-Month Avg. Volume8.35M9.05M
3-Month Volatility44.72%19.89%
Beta2.900.73

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.

WIT

15.83%

IT Services Industry

Max
37.08%
Q3
19.28%
Median
14.70%
Q1
6.70%
Min
-8.16%

WIT’s Return on Equity of 15.83% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

SHOP vs. WIT: A comparison of their Return on Equity (TTM) against the IT Services industry benchmark.

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.

WIT

15.06%

IT Services Industry

Max
17.01%
Q3
11.02%
Median
6.91%
Q1
3.07%
Min
-5.13%

A Net Profit Margin of 15.06% places WIT in the upper quartile for the IT Services industry, signifying strong profitability and more effective cost management than most of its peers.

SHOP vs. WIT: A comparison of their Net Profit Margin (TTM) against the IT Services industry benchmark.

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.

WIT

16.91%

IT Services Industry

Max
23.01%
Q3
15.32%
Median
9.57%
Q1
4.91%
Min
-9.58%

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.

SHOP vs. WIT: A comparison of their Operating Profit Margin (TTM) against the IT Services industry benchmark.

Profitability at a Glance

SymbolSHOPWIT
Return on Equity (TTM)15.08%15.83%
Return on Assets (TTM)12.51%10.37%
Net Profit Margin (TTM)16.65%15.06%
Operating Profit Margin (TTM)12.17%16.91%
Gross Profit Margin (TTM)48.75%30.12%

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.

WIT

2.26

IT Services Industry

Max
3.02
Q3
1.91
Median
1.36
Q1
1.02
Min
0.49

WIT’s Current Ratio of 2.26 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.

SHOP vs. WIT: A comparison of their Current Ratio (MRQ) against the IT Services industry benchmark.

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.

WIT

0.19

IT Services Industry

Max
2.55
Q3
1.30
Median
0.55
Q1
0.14
Min
0.00

WIT’s Debt-to-Equity Ratio of 0.19 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.

SHOP vs. WIT: A comparison of their Debt-to-Equity Ratio (MRQ) against the IT Services industry benchmark.

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.

WIT

--

IT Services Industry

Max
129.00
Q3
56.00
Median
11.69
Q1
1.68
Min
-28.15

Interest Coverage Ratio data for WIT is currently unavailable.

SHOP vs. WIT: A comparison of their Interest Coverage Ratio (TTM) against the IT Services industry benchmark.

Financial Strength at a Glance

SymbolSHOPWIT
Current Ratio (MRQ)3.932.26
Quick Ratio (MRQ)3.932.20
Debt-to-Equity Ratio (MRQ)0.070.19
Interest Coverage Ratio (TTM)-0.29--

Growth

Revenue Growth

SHOP vs. WIT: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

SHOP vs. WIT: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

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.

WIT

4.65%

IT Services Industry

Max
4.66%
Q3
2.02%
Median
0.66%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 4.65%, WIT offers a more attractive income stream than most of its peers in the IT Services industry, signaling a strong commitment to shareholder returns.

SHOP vs. WIT: A comparison of their Dividend Yield (TTM) against the IT Services industry benchmark.

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.

WIT

168.88%

IT Services Industry

Max
93.78%
Q3
63.22%
Median
24.64%
Q1
0.00%
Min
0.00%

At 168.88%, 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.

SHOP vs. WIT: A comparison of their Dividend Payout Ratio (TTM) against the IT Services industry benchmark.

Dividend at a Glance

SymbolSHOPWIT
Dividend Yield (TTM)0.00%4.65%
Dividend Payout Ratio (TTM)0.00%168.88%

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.

WIT

18.35

IT Services Industry

Max
45.03
Q3
30.25
Median
21.01
Q1
16.50
Min
0.00

WIT’s P/E Ratio of 18.35 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.

SHOP vs. WIT: A comparison of their Price-to-Earnings Ratio (TTM) against the IT Services industry benchmark.

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.

WIT

2.76

IT Services Industry

Max
5.24
Q3
4.01
Median
2.18
Q1
1.08
Min
0.00

WIT’s P/S Ratio of 2.76 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.

SHOP vs. WIT: A comparison of their Price-to-Sales Ratio (TTM) against the IT Services industry benchmark.

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.

WIT

2.91

IT Services Industry

Max
9.42
Q3
5.79
Median
3.70
Q1
2.30
Min
0.79

WIT’s P/B Ratio of 2.91 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.

SHOP vs. WIT: A comparison of their Price-to-Book Ratio (MRQ) against the IT Services industry benchmark.

Valuation at a Glance

SymbolSHOPWIT
Price-to-Earnings Ratio (TTM)104.4718.35
Price-to-Sales Ratio (TTM)17.402.76
Price-to-Book Ratio (MRQ)15.442.91
Price-to-Free Cash Flow Ratio (TTM)97.7716.97