GURUFOCUS.COM » STOCK LIST » Technology » Software » Shopify Inc (NYSE:SHOP) » Definitions » Receivables Turnover

Shopify (Shopify) Receivables Turnover : 7.34 (As of Mar. 2024)


View and export this data going back to 2015. Start your Free Trial

What is Shopify Receivables Turnover?

The Receivables Turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by average Accounts Receivable. An efficient company has a higher accounts receivable turnover ratio while an inefficient company has a lower ratio. Shopify's Revenue for the three months ended in Mar. 2024 was $1,861 Mil. Shopify's average Accounts Receivable for the three months ended in Mar. 2024 was $254 Mil. Hence, Shopify's Receivables Turnover for the three months ended in Mar. 2024 was 7.34.


Shopify Receivables Turnover Historical Data

The historical data trend for Shopify's Receivables Turnover 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.

* Premium members only.

Shopify Receivables Turnover Chart

Shopify Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Receivables Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.51 16.89 14.02 11.90 19.03

Shopify Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Receivables Turnover Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.66 8.69 30.34 14.79 7.34

Competitive Comparison of Shopify's Receivables Turnover

For the Software - Application subindustry, Shopify's Receivables Turnover, along with its competitors' market caps and Receivables Turnover 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's Receivables Turnover Distribution in the Software Industry

For the Software industry and Technology sector, Shopify's Receivables Turnover distribution charts can be found below:

* The bar in red indicates where Shopify's Receivables Turnover falls into.



Shopify Receivables Turnover Calculation

Receivables Turnover measures the number of times a company collects its average accounts receivable balance.

Shopify's Receivables Turnover for the fiscal year that ended in Dec. 2023 is calculated as

Receivables Turnover (A: Dec. 2023 )
=Revenue / Average Total Inventories
=Revenue (A: Dec. 2023 ) / ((Accounts Receivable (A: Dec. 2022 ) + Accounts Receivable (A: Dec. 2023 )) / count )
=7060 / ((500 + 242) / 2 )
=7060 / 371
=19.03

Shopify's Receivables Turnover for the quarter that ended in Mar. 2024 is calculated as

Receivables Turnover (Q: Mar. 2024 )
=Revenue / Average Total Inventories
=Revenue (Q: Mar. 2024 ) / ((Accounts Receivable (Q: Dec. 2023 ) + Accounts Receivable (Q: Mar. 2024 )) / count )
=1861 / ((242 + 265) / 2 )
=1861 / 253.5
=7.34

* 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  (NYSE:SHOP) Receivables Turnover Explanation

An efficient company has a higher accounts receivable turnover ratio while an inefficient company has a lower ratio. This metric is commonly used to compare companies within the same industry to check whether they are on par with their competitors.


Shopify Receivables Turnover Related Terms

Thank you for viewing the detailed overview of Shopify's Receivables Turnover provided by GuruFocus.com. Please click on the following links to see related term pages.


Shopify (Shopify) Business Description

Address
151 O'Connor Street, Ground Floor, Ottawa, ON, CAN, K2P2L8
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.

Shopify (Shopify) Headlines

From GuruFocus

Shopify: Great Business, Horrible Price

By Jonathan Poland 02-17-2023

Shopify's Stock Blitzes on Company's Price Increases

By Steve Gray Booyens 01-25-2023

Is Shopify's Surge Sustainable?

By Steve Gray Booyens 11-29-2022

MORGENS WATERFALL VINTIADIS & CO INC Buys 3, Sells 2 in 1st Quarter

By GuruFocus Research GuruFocus Editor 05-18-2022

UBS ASSET MANAGEMENT AMERICAS INC Buys 2, Sells 3 in 1st Quarter

By GuruFocus Research GuruFocus Editor 05-19-2022

Top 5 2nd Quarter Trades of Steve Mandel

By GuruFocus Research GuruFocus Editor 08-15-2022