One Shopify Metric Sparked a 40% Rally in This ETF

The Direxion Daily SHOP Bull 2X ETF (NASDAQ: SHPU ) soared nearly 40% on Wednesday, emerging as one of the session’s top-performing U.S.-listed ETFs after Shopify Inc’s (NASDAQ: SHOP ) stronger-than-expected quarterly results sparked a sharp rally in the stock.

SHPU is a single-stock leveraged ETF designed to deliver 200% of Shopify’s daily price performance before fees and expenses.

The fund is intended for short-term tactical trading, with daily compounding meaning returns can diverge from twice the stock’s performance over longer holding periods.

The rally came after shares of Shopify shares jumped around 20% on better-than-expected second-quarter fiscal 2026 results and upbeat third-quarter revenue guidance, easing investor concerns over AI spending and growing competition.

Shopify reported adjusted earnings of 42 cents per share, beating analysts’ estimates of 40 cents, while revenue climbed 34.3% year over year to $3.58 billion, ahead of the $3.45 billion consensus.

Adjusted net income increased to $439 million, while gross merchandise volume (GMV) rose 32% to $115.6 billion.

The company also highlighted accelerating adoption of AI-powered commerce.

AI-driven traffic and merchant orders both tripled from a year earlier, while new buyer orders generated through AI channels arrived at nearly twice the rate of other sales channels.

Although AI-driven commerce still represents a small share of GMV, management said the technology is improving customer acquisition and conversion rates.

Shopify’s earnings-fueled rally translated into outsized gains for SHPU, underscoring how leveraged single-stock ETFs can amplify market reactions to major corporate events.

While the fund can deliver significant upside during sharp rallies, its daily reset feature also makes it susceptible to equally pronounced losses when the underlying stock reverses.

Price Performance SHPU has experienced significant volatility over the past year, with its 52-week range spanning from a low of $7.95 to a high of $46.43, indicating a more than 480% fluctuation.

This dramatic price movement reflects the heightened speculative interest in e-commerce and retail sectors, driven by shifts in consumer behavior and market sentiment.

The ETF’s relatively small market capitalization of $0.02 billion suggests it may be more susceptible to large price swings compared to larger, more established funds.

The fund prices were up 36.88% at $17.93 at the time of publication on Wednesday, according to Pro data.

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