Shopify (SHOP) Competitors

Shopify (TSE:SHOP) and Constellation Software (TSE:CSU) are both large-cap computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, community ranking, institutional ownership, risk, earnings, media sentiment, dividends and valuation.

Do institutionals and insiders believe in SHOP or CSU?

70.3% of Shopify shares are held by institutional investors. Comparatively, 42.0% of Constellation Software shares are held by institutional investors. 0.2% of Shopify shares are held by company insiders. Comparatively, 5.7% of Constellation Software shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Does the MarketBeat Community favor SHOP or CSU?

Constellation Software received 428 more outperform votes than Shopify when rated by MarketBeat users. However, 64.47% of users gave Shopify an outperform vote while only 63.49% of users gave Constellation Software an outperform vote.

Company	Underperform	Outperform
Shopify	Outperform Votes 245 64.47%	Underperform Votes 135 35.53%
Constellation Software	Outperform Votes 673 63.49%	Underperform Votes 387 36.51%

Which has more volatility & risk, SHOP or CSU?

Shopify has a beta of 2.36, meaning that its stock price is 136% more volatile than the S&P 500. Comparatively, Constellation Software has a beta of 0.81, meaning that its stock price is 19% less volatile than the S&P 500.

Is SHOP or CSU more profitable?

Shopify has a net margin of 22.74% compared to Constellation Software's net margin of 6.57%. Constellation Software's return on equity of 27.34% beat Shopify's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Shopify	22.74%	20.32%	5.63%
Constellation Software	6.57%	27.34%	7.87%

Does the media prefer SHOP or CSU?

In the previous week, Shopify had 4 more articles in the media than Constellation Software. MarketBeat recorded 7 mentions for Shopify and 3 mentions for Constellation Software. Shopify's average media sentiment score of 0.59 beat Constellation Software's score of 0.38 indicating that Shopify is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Shopify	2 Very Positive mention(s)	4 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Constellation Software	0 Very Positive mention(s)	2 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Which has stronger earnings & valuation, SHOP or CSU?

Shopify has higher earnings, but lower revenue than Constellation Software. Shopify is trading at a lower price-to-earnings ratio than Constellation Software, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Shopify	C$6.35B	24.10	C$1.44B	C$2.21	74.47
Constellation Software	C$6.91B	10.59	C$453.54M	C$42.09	115.00

Do analysts rate SHOP or CSU?

Shopify presently has a consensus price target of C$131.67, suggesting a potential downside of 19.95%. Constellation Software has a consensus price target of C$4,875.00, suggesting a potential upside of 0.72%. Given Constellation Software's stronger consensus rating and higher probable upside, analysts clearly believe Constellation Software is more favorable than Shopify.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shopify	0 Sell rating(s)	2 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00
Constellation Software	0 Sell rating(s)	2 Hold rating(s)	4 Buy rating(s)	1 Strong Buy rating(s)	2.86

Summary

Constellation Software beats Shopify on 11 of the 19 factors compared between the two stocks.