#5 - Shopify (NYSE:SHOP)
If you’re looking for a different way to invest in eCommerce stocks, Shopify Inc. (NYSE: SHOP) may offer just what you’re looking for. Shopify is an alternative to Amazon for many small business owners that want to differentiate their brand on factors other than price. Shopify allows businesses to set up a customized website with all the tools they need to get their eCommerce site up and running.
The immediate issue for the stock in 2023 is profitability. The company’s revenue is about 10% that of Amazon’s. But the company, which was profitable prior to the pandemic, has posted negative earnings per share for five consecutive quarters. Consistent profitability is not seen until at least 2025.
With all that said, SHOP stock is up nearly 100% in 2023. And with 58% of the stock owned by institutions, the stock closely matches the percentage of institutions that hold AMZN stock.
About Shopify
Shopify Inc, a commerce company, provides a commerce platform and services in Canada, the United States, Europe, the Middle East, Africa, the Asia Pacific, Australia, China, and Latin America. The company's platform enables merchants to displays, manages, markets, and sells its products through various sales channels, including web and mobile storefronts, physical retail locations, pop-up shops, social media storefronts, native mobile apps, buy buttons, and marketplaces; and enables to manage products and inventory, process orders and payments, fulfill and ship orders, new buyers and build customer relationships, source products, leverage analytics and reporting, manage cash, payments and transactions, and access financing.
Read More - Current Price
- $106.96
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 24 Buy Ratings, 16 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $94.95 (11.2% Downside)
