Shopify Inc (SHOP)

[Th_EO]

While short-term market fluctuations are uncertain, Shopify has a strong foundation and the potential for growth in the long term. With its robust platform and expected 20% annual revenue growth, the company is poised for success.

[SmokyStock]

(Shopify launches fight against 'patent trolls' and their funders, files Texas lawsuit)

Shopify Inc. is waging a court battle against patent trolls, who often target small businesses and startups that can't afford to fight or lose legal battles, stifling innovation. The company claims that patent trolls often target small businesses and startups that can't afford to fight or lose a legal battle, thus stifling innovation. Shopify general counsel Jess Hertz stated that patent trolls "lacily sit back, burying hard-working entrepreneurs in piles of legal paperwork." Shopify found that companies settling or losing patent troll cases reduce investment in research and development by an average of more than $160 million over the two years following the case. Additionally, 90% of patent litigation cases filed each year are abandoned or settled, making "winners" out of the patent trolls and victims of forward-thinking businesses who put in the work to create and innovate. Shopify is pursuing litigation to identify who is funding patent trolls in cases lodged against the company. Shopify filed a motion in a Texas court demanding Lower48 IP LLC, which has connections to a data analysis and portfolio management services provider in the oil and gas industry, reveal any third-party interests it has. Shopify alleges that Lower48 may be receiving funding from a third-party for some or all of Lower48's legal fees. Lower48 lawsuit lawyers delayed responding to comment request.

[perry3412]

Shopify stock jumps after the sale of a logistics business.

[perry3412]

Shopify faces class action as recently laid-off staff alleges it reneged on severance offers.

[perry3412]

So if some big fish boost the US stock price by moving some big volume, like what is happening today, then does the Canadian stock price basically have to leap up when the market reopens tomorrow? It appears to have happened in the past.

I think the big institutional shareholders are playing with SHOP.

[koolmc]

nice bounce back on a down day

[SmokyStock]

(Shopify stock blasts off with a 31% gain in just 48 hours - and experts say it's just getting started!)

The company reported some impressive numbers and underwent some significant changes, which helped the stock of Shopify soar last week. Investors praised the quarter as well as developments that might help put the e-commerce tycoon back on track. The stock price of Shopify has fallen dramatically in 2022. I believe that Shopify stock is in a position to be productive once more now that shares have had some time to settle down. Undoubtedly, after a security has lost more than 31% in just two days, it is difficult to pursue it. I've urged readers in numerous previous articles not to overlook Shopify and that the company was probably priced much lower than it should be.

[perry3412]

For the full year, analysts expect Shopify revenue to rise 19% to $6.7 billion as its adjusted EPS stays flat. But based on those estimates and Shopify's enterprise value of $53.5 billion, its stock still isn't cheap at 8 times this year's sales.

[koolmc]

and still going up lol, took some of the table riding the rest

[Th_EO]

In the last 5 years, Shopify has seen its revenue grow by 40% per year. That's well above most for-profit companies. Meanwhile, its share price performance certainly reflects the strong growth, given that the share price grew at 31% per year, compound, during the period. This suggests the market has well and truly recognized the progress the business has made. Shopify seems like a high-growth stock, so growth investors might want to add it to their watchlist.

[koolmc]

after your signal it want back up lol.

[eastunder]

SHOP 47.97 open Gap to watch

cpps @ 59.12 5/4

Open Gaps
Direction Date range
up May-04-2023 47.97 to 53.88

[shankapotamus]

Sell signal on the 60min chart

[koolmc]

nah really you telling the board there will be profit taking? sky is also blue.

[shankapotamus]

Profit taking time. Look out below.

[koolmc]

and that is despite the market being down while they beat their earnings.

[koolmc]

nice surprise finally in the green on this one

[eastunder]

Shopify narrowing its ambition, sells Deliverr, other pieces
7:05 AM ET, 05/04/2023 - Associated Press
NEW YORK (AP) — Shopify, the e-commerce company viewed as a growing competitor to Amazon, is selling the two biggest pieces of its fulfillment network and abandoning its logistics ambitions.

It's a remarkable reversal after the Canadian company's multiyear effort to build its own warehousing and delivery services.

Most of Shopify’s fulfillment assets will be acquired by logistics provider Flexport in an all-stock deal that also includes the sale of the shipping service company Deliverr, the company said Thursday. Shopify bought Deliverr just last year for $2.1 billion.

In exchange, Shopify will receive a stake of about 13% in Flexport, bringing its total ownership in the privately held company up to the high-teens, the company said. Flexport will become the official logistics partner for Shopify, which provides e-commerce tools for merchants. It will also acquire Shopify's warehouses.

Another major part of the Shopify’s network, the warehouse automation firm 6 River Systems, or 6RS, is being sold to the British grocery-tech company Ocado Group, Shopify spokesperson Stephanie Ross said.

Shopify's logistics network is comprised of Deliverr, 6RS and the SFN App, which allows merchant to track shipments.

The sell offs come as the company based in Ottawa, Ontario, is aiming to cut down on costs amid a post-pandemic slowdown in online shopping and high inflation.

The moves will also allow it to offload employees it acquired under the deals, though it declined to say how many would be trimmed from its payroll. Last year, Shopify cut 10% of its workforce and reportedly laid off dozens of other employees before and after that announcement.

Shopify is returning to its roots, President Harley Finkelstein said an interview addressing only the Flexport deal.

“Fundamentally, this lets Shopify get back to what we do better than anyone on the planet, which is the retail side of the business,” Finkelstein said.

Meanwhile, Flexport CEO Dave Clark said he believes Shopify is doing “some of the hardest things the leadership team has to do, which is change direction when you learn new information.”

Flexport, which was last valued at $8 billion, declined to share more information about its financials. But analysts say its valuation has likely gone down in recent months given the tough investment environment.

Even if the company were still valued at $8 billion, Shopify is selling the assets at a loss, given the $2.1 billion it paid just for Deliverr last year. Under the prior valuation, the e-commerce company would get roughly $1 billion worth of Flexport stock.

Shopify declined to provide the terms of the Ocado Group deal, and a representative for that company could not immediately be reached for comment. The e-commerce company had purchased 6 River Systems in 2019 for $450 million

[Th_EO]

Last quarter's updated outlook was ultraconservative, which caused the stock to sell off even with strong quarterly results. Based on what sounds like very strong actual results this quarter, tomorrow should be a pretty good day for SHOP shareholders. Actual results should come in much higher than the updated outlook, and the forward guidance should be pretty decent, taking everything into consideration. I still think we will see $70 CDN tomorrow for SHOP shares. The future looks very rosy!

[SmokyStock]

Analysts and insiders at Shopify are preparing for a change in strategy for the company's logistics division. This change is anticipated to lead to a more comprehensive and integrated logistics offering. Shopify sees this move as a way to compete with Amazon and other e-commerce behemoths.

[perry3412]

In the last reported quarter, monthly recurring revenues (MRR) were up 7% year over year, reaching $109.5 million as new merchants joined the platform and the number of retail locations using POS Pro increased.

[perry3412]

Despite mixed reviews from industry experts and financial analysts' opinions varying from buy or sell ratings, Shopify has held its ground throughout time, thanks in part to its consolidated user base, which includes small businesses, coupled with its unique business model.

[Th_EO]

Shopify will be looking to display strength as it nears its next earnings release, which is expected to be on May 4, 2023. In that report, analysts expect Shopify to post earnings of -$0.04 per share. This would mark a year-over-year decline of 300%. Meanwhile, our latest consensus estimate is calling for revenue of $1.44 billion, up 19.29% from the prior-year quarter.

[perry3412]

Shopify subscriptions increased 61% year over year in Q1/23 and 23% compared to Q4/22. The Subscription Solutions revenue increases are slightly higher because some of the 30% subscription fee increases for new subscriptions went into effect in Q1/23. From the perspective of just the monthly recurring revenue, the last quarter will be a whopper.

[perry3412]

Shopify is like Payfare Inc. It is on the move. It's going to prosper and do incredibly well this year.

[perry3412]

Shopify’s sales have surged over 400% in the last four years as the COVID-19 pandemic acted as a massive tailwind for e-commerce companies. However, its top-line growth is now decelerating as Bay Street expects Shopify to end 2023 with revenue of $9 billion, an increase of 18.4% year over year.

[perry3412]

In the last 5 years Shopify saw its revenue grow at 40% per year. That's well above most pre-profit companies. So it's not entirely surprising that the share price reflected this performance by increasing at a rate of 31% per year, in that time. So it seems likely that buyers have paid attention to the strong revenue growth. Shopify seems like a high growth stock - so growth investors might want to add it to their watchlist.

[perry3412]

In the last 5 years Shopify saw its revenue grow at 40% per year. That's well above most pre-profit companies. So it's not entirely surprising that the share price reflected this performance by increasing at a rate of 31% per year, in that time. So it seems likely that buyers have paid attention to the strong revenue growth. Shopify seems like a high growth stock - so growth investors might want to add it to their watchlist.

[perry3412]

Shopify's business is far larger than it was before the pandemic, with revenue currently nearly $6 billion, compared to around $1.5 billion in 2019. Its services are clearly resonating with merchants, too, as about 10% of e-commerce in the core U.S. market was transacted through Shopify's platform in 2022.

[perry3412]

Shopify is investing in logistics, including its recent $2.1 billion acquisition of Deliverr.

[Th_EO]

Shopify is an objectively expensive stock, which has been justified in the past by its incredible growth. The company's growth rate is slowing significantly, boosting the valuation risk for those who buy today. There are options for bumping the growth rate back up, one of which should manifest itself in the second quarter of 2023.

[perry3412]

Shopify has continued to make product enhancements to further its market share and positioning in key markets. One such innovation I’ve been keeping an eye on is the company’s launch of its POS Go hardware in Singapore, Italy, Belgium, Denmark, Italy and Spain.
Thus, its payment service is now present in 14 countries around the world, enabling its traders to tap into the international market.

[perry3412]

In 2022 Shopify took 10% of e-commence market share from Amazon due to completion of next generation fulfilment and supply chain logistics. Growth of revenue will accelerate to over 20% year over year in 2023 and earnings will grow by 600%, the base of stores already grew by over 100% from 2021

[perry3412]

They made some really good changes for future profitability and growth. Price increases, restructuring, logistics and Ai integration. They will also have 20 percent or more growth in the coming year.

[perry3412]

The bottom line is that Shopify ended 2022 with $6.1M non-GAAP income while Amazon ended 2022 with $305.7M non-GAAP loss. Shopify e-commerce 2022 revenue grew 21% in revenue and Amazon e-commerce 2022 revenue declined 0.3% yoy in revenue

[Th_EO]

Shopify is more concerned with growth right now instead of profitability. And maybe that finally gets to the root of why the market reacted negatively to Shopify stock in February, its growth forecast for 2023 is modest by Shopify's standards.

[perry3412]

Shop upgrades from Wells Fargo, Oppenheimer and RBC. They raised their 12 month targets to the 80 to 87 USD level.

[Th_EO]

Shopify announces multi-year initiative to transform Partner Program
https://news.shopify.com/shopify-announces-multi-year-initiative-to-transform-partner-program

[Harbor6460]

The share structure is a Joke.

[perry3412]

Great company that will be soon partnering Amazon. This will be heading to pandemic highs once again

[perry3412]

During Q4 Shopify was able to add more than $100 million to their cash holdings because of operating income. They now have $5.09 Billion in cash.

[$Pistol Pete$]

Yeah

[TheFinalCD]

WHAT A YO~YO



SEE HOW THEY DO PEOPLE

[$Pistol Pete$]

Still holding here

[Xzibit]

SHOP going to $100.00

[BottomBounce]

$SHOP Book Value is only $6.83 Shopify has $1.3 Billion of debt

[eastunder]

SHOP 32.39 tgt to watch

Open Gaps
Direction Date range
up Nov-15-2022 39.31 to 39.9604
up Nov-10-2022 32.39 to 33.45

[Oli_sam]

Despite the notable improvement, inflation remains high compared to historical standards, which is particularly tough on consumers as we enter the holiday season. This will likely cause people to rein in e-commerce spending and hold off on upgrading to the latest gaming chip, pressuring Shopify. Companies are looking to cut back where they can, so it's easy to envision a scenario in which businesses spend less on data storage and analysis costs.

[DavidPro__1]

Shopify might have gotten beaten down this year. It reported a narrower-than-expected loss for the third quarter

[DavidPro__1]

Shopify jumped on its earnings report last week. The weak guidance from Amazon indicates that Shopify is still taking market share from its larger rival, and that Buy with Prime is unlikely to be a serious threat to Shopify as Amazon is preparing for near-stagnant growth in its e-commerce division in the fourth quarter.