#3 - Shopify (NYSE:SHOP)
If there’s one thing that has millions of Americans sheltered in place taught us is that e-commerce will only continue to grow. No company’s poised to overtake Amazon, but Shopify (NYSE:SHOP) proves to be a worthy competitor.
As with Square, which we mentioned above, you have to avoid being a prisoner of the moment when it comes to Shopify. The next 10 years will make us less reliant on physical storefronts. It is simply going to be more cost-effective to own and operate a business online.
And to do that, businesses need a website with all the tools to make e-commerce convenient and secure. Shopify helps companies build their online storefront with its suite of tools. What’s very attractive about the company’s business model is that they draw a high margin from their core offering. That makes the growth formula pretty simple.
Of course, Shopify faces competition, not the least of which is Amazon and its Amazon Web Services (AWS). But Shopify does offer e-tailers some unique benefits, and that means for the foreseeable future, there will be plenty of room in this space.
And that’s important because Amazon is not going away.
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
- $106.30
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 24 Buy Ratings, 16 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $94.95 (10.7% Downside)
