ShopifySTU:307 -2.50%77 FCF Margin % is 15.02% as of Mar. 2026, which is 172% above its 10-year median of 5.52. GuruFocus rates STU:307 with a GF Score™ of 77/100 and a GF Value™ of €125.01 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 2,815 Software companies, Shopify ranks better than 82.63% on this metric.
FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Shopify's Free Cash Flow for the
three
months ended in Mar. 2026 was €412 Mil. Shopify's Revenue for the
three
months ended in Mar. 2026 was €2,742 Mil. Therefore, Shopify's FCF Margin % for the quarter that ended in Mar. 2026 was 15.02%.
The historical rank and industry rank for Shopify's FCF Margin % or its related term are showing as below:
STU:307'
s FCF Margin % Range Over the Past 10 Years
Min: -3.32 Med: 5.52 Max: 17.98
Current: 17.13
During the past 13 years, the highest FCF Margin % of Shopify was 17.98%. The lowest was -3.32%. And the median was 5.52%.
STU:307's FCF Margin % is ranked better than 82.63% of 2815
companies
in the Software industry
Industry Median: 2.41
vs STU:307: 17.13
Shopify FCF Margin % Related Terms
Shopify FCF Margin % Historical Data
* Premium members only.
The historical data trend for Shopify's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
STU:307 vs CRM, UBER, NOW: FCF Margin % Comparison
For the Software - Application subindustry, Shopify's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Shopify FCF Margin % vs Software Industry
For the Software industry and Technology sector, Shopify's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Shopify's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Shopify (STU:307) has a FCF Margin % of 15.02% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Shopify and its competitors. This is 172% above median its historical median of 5.52. According to the industry distribution chart, Shopify ranks #489 out of 2815 companies in the Software industry, placing it in the top 17.4%.
Is Shopify's FCF Margin % too high?
Shopify's current FCF Margin % of 15.02% is 172% above median its 10-year median of 5.52. The Software industry median FCF Margin % is 2.41. Shopify's value of 15.02% is 523.2% above this industry median. Based on the distribution chart, Shopify ranks #489 out of 2815 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Shopify has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shopify's FCF Margin % compare to CRM and UBER?
According to the Software industry distribution chart, Shopify ranks #489 out of 2815 companies for FCF Margin %. This places Shopify in the top 17% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 2.41. Shopify's value of 15.02% is 523.2% above this benchmark. While the company's 10-year median is 5.52 vs. the industry median of 2.41, Shopify has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 2.41, based on 2,815 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Shopify's current FCF Margin % of 15.02% is 523.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Shopify and its competitors. For the Software industry, the median FCF Margin % is 2.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shopify's current FCF Margin % is 15.02%, which is 172% above median its own 10-year median of 5.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shopify stock overvalued right now?
Based on GuruFocus' analysis, Shopify (STU:307) is currently considered Modestly Undervalued. The stock's GF Value™ is €125.01, compared to a current price of €97.93 — trading 21.7% below its estimated fair value. The current FCF Margin % is 15.02%, which is 172% above median its 10-year median of 5.52 and 523.2% above the Software industry median of 2.41. Shopify's overall GF Score™ is 77/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Shopify (STU:307), the current FCF Margin % is 15.02% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Shopify (STU:307) Overvalued in 2026?
Based on GuruFocus' analysis, Shopify stock appears to be undervalued.
The current stock price of €97.93 is trading 21.7% below its estimated GF Value™ of €125.01.
GuruFocus considers Shopify to be Modestly Undervalued.
Key valuation signals for STU:307:
FCF Margin %: 15.02% (172% above median its 10-year median of 5.52)
GF Value™: €125.01 vs. price of €97.93 (21.7% below fair value)
Industry Position: 523.2% above the Software median (#489 of 2815)
No single metric tells the full story. See the STU:307 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shopify offers an e-commerce platform primarily to small and medium-size businesses. The firm has two segments. The subscription solutions segment allows Shopify merchants to conduct e-commerce on a variety of platforms, including the company's website, physical stores, pop-up stores, kiosks, social networks (Facebook), and Amazon. The merchant solutions segment offers add-on products for the platform that facilitate e-commerce and include Shopify Payments, Shopify Shipping, and Shopify Capital.
77GF Score
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