Alibaba Plans Revenue-Sharing Model for Qwen3.8-Max AI Commercial Users 
OpenAI Restricts Astra AI Over Cyberattack Risks 
Nvidia Secures $500 Billion AI Infrastructure Push With Wall Street Giants 
Daimler Truck Q2 Profit Falls 18%, 2026 Outlook Raised 
Treasury Wine Estates Shares Jump as U.S. Overhaul Lifts FY2026 Outlook 
Nintendo Shares Jump as Switch 2 Sales Boost Earnings 
ADNOC Gas Targets Up to $4B Profit in 2026 
Austal Shares Surge 16% as Hanwha Offers Up to $1.2 Billion for U.S. Shipbuilding Business 
Cloudflare Stock Jumps 15% as Earnings Beat Estimates, 2026 Outlook Raised 
Deutsche Bank Upgrades Persimmon to Buy After Strong First-Half Results 
Shein Scales Back Vietnam Operations as US Trade Rules Shift 
Nvidia Seen Beating Q2 Targets as Vera Rubin Cycle Begins 
Mercedes-Benz Stock Offers Deep-Value Potential as Citi Sees Recovery Catalysts 
Hanwha Offers Up to $1.2 Billion for Austal US Business 
Anthropic Signs $9.1B AI Data Center Deal With Riot Platforms 
Sony, TSMC Eye $6.3 Billion Japan Chip Venture for Next-Gen Image Sensors 
US Judge Dismisses Gautam Adani Criminal Charges 
Shopify (NASDAQ:SHOP) saw its U.S.-listed shares fall 8% in premarket trading after the Canadian e-commerce giant forecast lower-than-expected second-quarter profits. The disappointing outlook, combined with a first-quarter earnings miss and weaker-than-anticipated subscription revenue, has raised concerns over the platform’s exposure to rising global trade uncertainty.
As U.S. President Donald Trump's aggressive tariff policies fuel tensions with key trade partners like China, businesses—especially small and mid-sized merchants—are feeling the strain. These businesses, which make up a large portion of Shopify’s user base, are struggling to manage increased import costs, leading some analysts to speculate that merchant attrition could be impacting Shopify’s bottom line.
D.A. Davidson analyst Gil Luria noted that tariffs may be discouraging some merchants from continuing their operations, potentially contributing to the company’s underwhelming earnings forecast. Shopify projected second-quarter gross profit to grow in the high-teens percentage range, falling short of the 20.2% analysts expected, according to LSEG data.
Despite the softer profit outlook, Shopify offered some positives. The company expects revenue to grow in the mid-twenties percentage range, surpassing the consensus estimate of 22.4%, signaling that its strategic investments—particularly in AI-driven features and platform enhancements—are starting to pay off.
For the first quarter ended March 31, Shopify reported $2.36 billion in revenue, slightly ahead of the $2.33 billion estimate. Still, the miss on profit and segment revenue has left investors cautious, especially as broader macroeconomic factors continue to weigh on the e-commerce sector. Amazon (NASDAQ:AMZN), the industry leader, has also guided for lower-than-expected operating income in Q2, adding to concerns across the sector.
Shopify's outlook underscores how global economic volatility is reshaping the e-commerce landscape.
