Shopify (SHOP) shares surged 5% in Tuesday's pre-market trading, reflecting growing investor confidence in the company's long-term growth prospects in the e-commerce sector. The stock's movement comes as analysts highlight Shopify's strong market position and continued expansion in the global online retail space.

Despite already delivering an impressive 3,800% return since 2015, Shopify appears to have substantial room for growth. The company currently holds just 12% of the global e-commerce market share, suggesting a significant runway for future expansion. This untapped potential is likely driving investor enthusiasm and contributing to the stock's upward momentum.

Shopify's business model, which benefits from the growth of its merchant base, continues to show strength. In its most recent quarter, the company reported a 27% year-over-year increase in revenue, underpinned by a 23% rise in gross merchandise volume to $74 billion. The company's ability to rapidly introduce new tools and features, such as its AI-powered tariff guide for cross-border sales, is seen as a key competitive advantage that helps its merchants outperform the broader e-commerce market.