#4 - Shopify (NYSE:SHOP)
If you’re looking at an e-commerce play, I suppose you could count Amazon (NASDAQ:AMZN) as a stock to buy on sale. Shares of the tech giant are down almost 15% since September 1. But an equally compelling option is Shopify (NYSE:SHOP). Shopify has dropped 25% since the calendar turned which it makes look like a screaming buy.
Shopify helps merchants outsource their e-commerce websites. The company has built a loyal base with small- to medium-sized businesses that are attracted to Shopify’s monthly cost (just $29), it’s low credit card processing fees (2.9% + 30 cents). And Shopify allows its customers to “own” their site. This means a visitor to a Shopify site won’t see products from competitors.
There is some concern that Shopify will not be able to sustain the sales growth it has seen during the pandemic. However, an event such as the novel coronavirus makes evident things that we did “just because.” And I think, for many people, shopping may fall into that category. There were some things we left the house for because it’s just what we did. Now that we realize we don’t have to (and maybe don’t want to), Shopify should continue to benefit well past 2020.
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
- $106.53
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 24 Buy Ratings, 16 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $94.95 (10.9% Downside)
