The move comes as Toronto-listed shares have shed more than 27 percent in 2026
Shopify's board authorized an additional US$3bn in share repurchases on Tuesday, lifting its total buyback capacity to US$5bn.
According to Reuters, the move comes as the Ottawa-based e-commerce company's stock sits more than 27 percent below its 2026 opening price.
The company has already deployed approximately US$1.45bn under its existing authorization as of June 1, Shopify said.
The expanded program targets Class A subordinate voting shares and will run with no set quarterly or annual minimums, BNN Bloomberg reported.
CFO Jeff Hoffmeister credited consistent operating cash flow and "strong results quarter after quarter" for giving the company room to return capital to shareholders, particularly during periods of market volatility, according to a company statement.
The buyback announcement sent Shopify's US-listed shares up approximately 1.5 percent in extended trading, Reuters reported, offering a brief reprieve for investors who have weathered a steep selloff.
Toronto-listed shares have declined over 27 percent this year as fears that artificial intelligence poses an existential threat to the software sector weighed on the stock.
Rising costs tied to the US and Israeli war with Iran have also threatened to suppress merchant demand for the company's products.
Shopify, which keeps its books in US dollars and trades on both the TSX and Nasdaq, said the program can be modified, suspended, or terminated at any time and does not obligate the company to acquire any specific amount of shares, BNN Bloomberg reported.
