Here’s Why Shopify (SHOP) Rose in Q4

1 week ago 5

Soumya Eswaran

Mon, January 12, 2026 astatine 7:31 AM CST 3 min read

ClearBridge Investments, an concern absorption company, released its “ClearBridge Growth Strategy” fourth-quarter 2025 capitalist letter. A transcript of the missive tin beryllium downloaded here. US equities reported a beardown but volatile show successful the 4th quarter, with the S&P 500 Index returning 2.7% portion the benchmark Russell Midcap Growth Index declined 3.7%. In this environment, a balanced, highly progressive stock attack resulted successful Strategy’s 3rd consecutive 4th of outperformance, capturing aboriginal momentum portion providing downside extortion during rising volatility towards the extremity of the period. The strategy maintained its semipermanent concern doctrine of disciplined portfolio absorption and opportunistic superior allocation. In addition, delight cheque the fund’s apical 5 holdings to cognize its champion picks successful 2025.

In its fourth-quarter 2025 capitalist letter, ClearBridge Growth Strategy highlighted stocks specified arsenic Shopify Inc. (NASDAQ:SHOP). Shopify Inc. (NASDAQ:SHOP) is simply a commerce exertion institution that provides a cloud-based level for individuals and companies to make and negociate their operations. The one-month instrumentality for Shopify Inc. (NASDAQ:SHOP) was 0.18%, and its shares gained 58.60% implicit the past 52 weeks. On January 9, 2026, Shopify Inc. (NASDAQ:SHOP) banal closed astatine $164.48 per share, with a marketplace capitalization of $214.127 billion.

ClearBridge Growth Strategy stated the pursuing regarding Shopify Inc. (NASDAQ:SHOP) successful its 4th fourth 2025 capitalist letter:

Fourth-quarter outperformance was driven by a operation of balanced portfolio operation and beardown banal selection. Early successful the quarter, momentum tied to AI and exertion supported results, portion the portfolio’s vulnerability to steadier compounders and antiaircraft maturation names helped support show arsenic volatility increased. Within IT, Shopify Inc. (NASDAQ:SHOP), an e-commerce level that enables merchants to run and standard integer storefronts, benefited from continued adoption by larger enterprises and improving monetization crossed its ecosystem.

Shopify Inc. (NASDAQ:SHOP) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. According to our database, 91 hedge money portfolios held Shopify Inc. (NASDAQ:SHOP) astatine the extremity of the 3rd quarter, compared to 69 successful the erstwhile quarter. In Q3 2025, Shopify Inc.’s (NASDAQ:SHOP) revenue increased 32% year-over-year. While we admit the imaginable of Shopify Inc. (NASDAQ:SHOP) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.