Shopify Inc (SHOP)vsVisa Inc. Class A (V)
SHOP
Shopify Inc
$110.41
-1.19%
TECHNOLOGY · Cap: $136.82B
V
Visa Inc. Class A
$318.79
-0.78%
FINANCIAL SERVICES · Cap: $610.99B
Smart Verdict
WallStSmart Research — data-driven comparison
Visa Inc. Class A generates 248% more annual revenue ($43.03B vs $12.37B). V leads profitability with a 51.7% profit margin vs 10.8%. V appears more attractively valued with a PEG of 1.71. V earns a higher WallStSmart Score of 72/100 (B).
SHOP
Buy50
out of 100
Grade: C-
V
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+26.1%
Fair Value
$158.22
Current Price
$110.41
$47.81 discount
Intrinsic value data unavailable for V.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 34.3% year-over-year
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Mega-cap, among the largest globally
Every $100 of equity generates 60 in profit
Keeps 52 of every $100 in revenue as profit
Strong operational efficiency at 67.3%
17.1% revenue growth
Earnings expanding 35.5% YoY
Areas to Watch
Expensive relative to growth rate
Trading at 10.7x book value
Weak financial health signals
Premium valuation, high expectations priced in
Expensive relative to growth rate
Moderate valuation
Trading at 15.9x book value
Grey zone — moderate risk
Comparative Analysis Report
WallStSmart ResearchBull Case : SHOP
The strongest argument for SHOP centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 34.3% demonstrates continued momentum.
Bull Case : V
The strongest argument for V centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 51.7% and operating margin at 67.3%. Revenue growth of 17.1% demonstrates continued momentum.
Bear Case : SHOP
The primary concerns for SHOP are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 103.4x leaves little room for execution misses.
Bear Case : V
The primary concerns for V are PEG Ratio, P/E Ratio, Price/Book.
Key Dynamics to Monitor
SHOP carries more volatility with a beta of 2.64 — expect wider price swings.
SHOP is growing revenue faster at 34.3% — sustainability is the question.
V generates stronger free cash flow (2.6B), providing more financial flexibility.
Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
V scores higher overall (72/100 vs 50/100), backed by strong 51.7% margins and 17.1% revenue growth. SHOP offers better value entry with a 26.1% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Shopify Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Shopify Inc., a commerce company, offers a commerce and service platform in Canada, the United States, the United Kingdom, Australia, Latin America, and internationally. The company is headquartered in Ottawa, Canada.
Visa Inc. Class A
FINANCIAL SERVICES · CREDIT SERVICES · USA
Visa Inc. is an American multinational financial services corporation headquartered in Foster City, California, United States. It facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards. Visa is one of the world's most valuable companies.
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