Shopify sinks 16% pre-market; GMV, subscription revenue miss estimates, Investing.com says

Shopify shares changed hands at $131.79 in pre-market trading at 8:33 AM ET (14:33 CET) on 3 November 2026, 15.64% below the 2 November close of $156.22, according to Nasdaq.com. Investing.com said the stock slumped after third-quarter revenue merely met expectations while GMV and subscription revenue came in under estimates. In that report, published on 3 November, it put the pre-market fall at more than 19%. Regular trading on Nasdaq opens at 9:30 AM ET (15:30 CET).

Shopify defines GMV as the dollar value of orders facilitated through its platform, net of refunds and including shipping, duties and VAT. It reached $119.1bn in the quarter, up 29% from a year earlier and 30% in constant currency, according to the results release, against the $120.08bn analysts expected, Investing.com reported. Subscription solutions revenue rose 20% to $836m, short of the $850.2m estimate Investing.com cited. Merchant solutions revenue climbed 35% to $2.91bn, slightly ahead of its $2.9bn estimate. Monthly recurring revenue, the value of subscription plans in force at quarter end excluding variable platform fees, rose to $230m from $193m a year earlier, in line with Investing.com's $229.9m estimate.

Operating income and adjusted earnings beat the estimates Investing.com cited. Operating income rose 66% to $568m, above its $523.9m estimate, while total operating expenses rose to $1,213m from $1,048m. Non-GAAP diluted earnings per share were $0.49, against $0.34 a year earlier and an expected $0.47; on a GAAP basis they were $0.36, up from $0.20. Revenue of $3.74bn, up 32% both as reported and in constant currency, matched the consensus Investing.com cited. Free cash flow, a non-GAAP measure, was $816m, or 22% of revenue, against 18% a year earlier.

In its outlook issued on 3 November 2026, Shopify said it expects fourth-quarter revenue growth in the low thirties in percentage terms, year on year, with gross profit dollars up at a high-twenties rate. It guided for operating expenses equal to 29% to 30% of revenue, against about 32% in the third quarter by Polstob's calculation from the release, and stock-based compensation of $155m. It expects its free cash flow margin to match the fourth quarter of 2025. The company said this outlook replaces all earlier ones.

Shopify's cash flow statement shows $562m spent on share repurchases in the third quarter, against none a year earlier, and the diluted share count used for earnings per share fell to 1,290,726,742 from 1,312,872,709. GAAP net income rose to $462m from $264m. Management scheduled a conference call on the results for 8:30 AM ET (14:30 CET) on 3 November.