SHOP - Shopify: Buy The Dip As It Takes Market Share From Competitors
2024-02-20 15:56:01 ET
Summary
- Shopify stock plunged after reporting Q4 2023 earnings, as guidance for Q1 2024 came in light.
- Over the past year, the stock has dipped several times, and each time has proven a good buying opportunity as each pullback preceded a rip higher.
- Shopify’s most recent move will certainly drive further revenue and profit growth, with unique insights from beneath the surface strengthening the bull case.
Shopify (SHOP) shares plunged after reporting Q4 2023 earnings, with the stock down around 14% from its recent high, as guidance for Q1 2024 came in light. This was primarily due to a projected increase in operating expenses, particularly marketing and employee-related expenses. There is indeed little room for disappointment given the expensive valuation of the stock, with the stock having rallied 81% in one year.
Over the past year, the stock has dipped several times, and each time has proven a good buying opportunity as each pullback preceded a rip higher. We believe this is because the long-term growth story seems to be getting stronger and stronger. Nexus maintains a ‘buy’ rating on the stock....
Shopify: Buy The Dip As It Takes Market Share From Competitors