Revenue Upswing Predicted For Global-E: Analyst Points To Shopify-Driven GMV As Major Growth Driver
Portfolio Pulse from Nabaparna Bhattacharya
Piper Sandler analyst Brent A. Bracelin has reiterated an Overweight rating on Global-E Online Ltd. (GLBE) and raised the price target to $54 from $38. The analyst is bullish on Global-E's new product catalyst (enabling Shopify Markets Pro) that could accelerate growth in 2024 and 2025. Shopify Inc. (SHOP) owns a 13% stake in GLBE. Global-E is powering $1 billion gross merchandise volume (GMV) at Shopify, representing just 4% of the potential $28 billion cross-border GMV opportunity at Shopify. Every $1 billion of incremental Shopify cross-border GMV could add $160 million+ in total Global-E revenue.
July 06, 2023 | 6:53 pm
News sentiment analysis
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POSITIVE IMPACT
Piper Sandler analyst is bullish on Global-E due to its new product catalyst and potential growth from Shopify's GMV. The price target has been raised to $54.
The analyst's bullish outlook and raised price target indicate a positive short-term impact on Global-E's stock. The new product catalyst and potential growth from Shopify's GMV are significant factors.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
POSITIVE IMPACT
Shopify owns a 13% stake in Global-E and is a major driver of its GMV. This could indirectly impact Shopify's revenues and growth.
Shopify's stake in Global-E and its role in driving GMV could indirectly impact its revenues and growth, indicating a potential positive short-term impact on Shopify's stock.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 70