From Nasdaq: 2025-06-09 12:06:00

Shopify and Amazon are major players in e-commerce, with Shopify focusing on user-friendly tools and an extensive app marketplace, while Amazon diversifies product offerings and expands globally. The e-commerce market is projected to reach $10.19 trillion by 2025 and $21.22 trillion by 2030, offering growth opportunities for both companies.

Shopify’s strong growth is driven by its merchant-friendly tools like Shop Pay, with revenues of $1.74 billion in Q1 2025. AI tools like Shopify Sidekick enhance customer engagement. An expanding partner base includes TikTok, Amazon, and more. Amazon expands globally, adds luxury brands, and focuses on everyday essentials to drive growth.

Shopify and Amazon stocks have performed differently in 2025, with SHOP gaining 4.8% and AMZN losing 2.7%. Both stocks are currently overvalued, with SHOP trading at 12.28X forward Price/Sales compared to AMZN’s 3.14X. Earnings estimates for SHOP and AMZN show promising growth potential, with SHOP’s 2025 earnings estimated at $1.40 per share and AMZN’s at $6.31 per share.

Despite challenges, Amazon’s diverse offerings and strong global presence position it as a better pick than Shopify. Amazon’s focus on faster deliveries and everyday essentials enhances its long-term prospects. Both Shopify and Amazon stocks carry a Zacks Rank #3 (Hold) at present.



Read more at Nasdaq: Shopify vs. Amazon: Which E-Commerce Stock Has The Edge Now?