CA - Shopify Q1 2024 Earnings: Making Sense Of The 20% Share Price Drop
2024-05-08 16:08:00 ET
Summary
- Shopify Inc.'s Q1 2024 earnings were disappointing, but at first glance, there was nothing to suggest a 20% drop in the share price.
- Underneath the surface, however, the stock price remains very sensitive to even slight changes regarding future growth and GAAP earnings.
- The large portion of investments carried at fair value is another key area that often goes unnoticed by investors.
Shopify Inc. ( SHOP ) just reported its Q1 2024 results , and the stock is down sharply to what at first glance appears to be a strong quarter. We rarely see a decline of roughly 20% on the day of an earnings release that opens up with the following statement by management:
Shopify Q1 2024 Earnings: Making Sense Of The 20% Share Price Drop
You’re seeing the strongest version of Shopify in our history.
Source: Shopify Q1 2024 Earnings Release.