SHOP - Is the New-Look Shopify a Buy Now?
2023-08-08 06:45:00 ET
Shopify 's (NYSE: SHOP) business has undergone several iterations over the past few years. While it started as a tool to give businesses of all sizes e-commerce access, it quickly morphed into an all-encompassing solution, including logistics and digital payment processing. In June, Shopify announced it was selling its logistics division to Flexport, reversing many decisions that significantly expanded its reach.
A few days ago, we got our first look into the next iteration of Shopify, and the results were fantastic. But is this new-look Shopify worth buying? Let's find out.
Logistics is a cost-intensive business. While Shopify's roots indicated it was a high-margin software company, product warehouses, and the robots inside of them aren't cheap and don't provide nearly the return on capital of other investments.
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Is the New-Look Shopify a Buy Now?