Shopify's (SHOP) shares surged to their highest point in almost three years this Tuesday, following the announcement of their Q3 earnings which exceeded predictions. The provider of online services for retailers experienced an incredible 132% jump in operating income year-on-year, reaching $283 million. Revenue was recorded at $2.16 billion, reflecting a 26% increase. Furthermore, the company's free cash flow rose by 53% to $421 million, outpacing forecasts made by Visible Alpha analysts.
Shopify's President, Harley Finkelstein, hailed the quarter's performance as "outstanding". He also expressed optimism about the forthcoming key holiday shopping season, where retailers are expected to rely heavily on Shopify's tools, unmatched speed, and reliability to maximize their success.
Projections for the current-quarter revenue suggest an increase by a mid-to-high-twenties percentage. Shopify shares were recently up by 25% to $112.75, marking the highest level since January 2022.