Shopify stock soars 20% on rosy guidance as CFO says tariff hit 'did not materialize'

The logo of Shopify is seen outside its headquarters in Ottawa, Ontario, on Sept. 28, 2018. Shopify shares soared 20% Wednesday after the company topped analysts' estimates for the second quarter, and gave rosy guidance for the third quarter. Here's how the company did, compared with estimates from analysts polled by LSEG: Earnings per share: 35 cents adj. vs. 29 cents 35 cents adj. vs. 29 cents Revenue: $2.68 billion vs. $2.55 billion Second-quarter sales surged 31% year over year to $2.68 billion, an acceleration from a year ago, when revenue expanded roughly 20%. The Canadian e-commerce company also offered third-quarter guidance that surpassed expectations. Shopify said it expects revenue to grow at a "mid-to-high twenties percentage rate" year over year, which is higher than the 21.7% growth projected by analysts, according to StreetAccount. The upbeat report and guidance suggested Shopify, which sells software for e-commerce businesses, is navigating President Donald Trump's trade war better than feared. Last quarter, the company noted there was macroeconomic "uncertainty ahead," but that it wasn't seeing significant price increases among its merchants due to the tariffs. "We had factored into our guidance some potential impact from tariffs, which did not materialize," Shopify CFO Jeff Hoffmeister said on a conference call with investors.