Shopify (SHOP 0.75%) has dominated e-commerce software for at least a decade, and the company's latest report showed that it still has no sign of slowing down even after years of monster growth.

In the fourth quarter, Shopify's gross merchandise value (GMV) rose 26% to $94.5 billion, and revenue jumped 31% to $2.81 billion, ahead of the consensus at $2.73 billion.

Adjusted earnings per share rose from $0.34 to $0.44, topping estimates by a penny.

Shopify is executing across its business. After putting the failed Deliverr acquisition behind it, it's gotten to back to its core strength in e-commerce, innovating, tapping into new markets, and bringing on customers big and small. Its payments revenue stream is growing fast as well.

Wall Street has taken notice, with several analysts raising their price targets on the stock after its earnings report. However, one analyst, anticipating strong results, upgraded the stock to a buy ahead of the report.

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Benchmark calls Shopify a buy

Last Monday, immediately before Shopify's latest release, Benchmark raised its rating on the e-commerce stock from a hold to a buy. Analyst Mark Zgutowicz credited Shopify's strong performance to Shopify Audiences, which is thus far only available to Plus merchants in North America that use Shopify Payments. Shopify Audiences is a marketing tool that helps merchants find new customers and improve the performance of their ads.

Zgutowicz gave the stock a price target of $150, representing a 25% upside from the price at the time of the upgrade.

Is Shopify a buy?

Shopify's revenue has now grown by 25% or faster for seven straight quarters, excluding its foray into logistics. Its guidance indicates more good times ahead, as it's calling for revenue growth in the mid-20%s for 2025.

Shopify stock might be expensive, but the company is the clear leader in a massive e-commerce market. It still has a lot of room to grow both GMV and payments volume, and to earn revenue from new services and features. The stock is still a buy.