Shopify Stock: Why is SHOP stock crashing & where will it bottom?
Shopify stock, or SHOP stock, has fallen nearly 75% in just the last 6 months! In just the last month it's down nearly 50%! What is going on with Shopify and when will the stock bottom?
In this video, LINK, I discuss what is Shopify and why their stock has plummeted so dramatically in such a short period.
The answer, like many crashing stocks, share a few common themes. These themes include:
- Weaker than Expected Results,
- Contracting Valuations, and
- Unprofitable Operations!
Shopify, an ecommerce infrastructure platform for merchants of all size, saw their results accelerate dramatically during the COVID induced lock-downs. But now, as the economy opens back up and ecommerce normalizes, so has Shopify's results.
During the 1Q 2021, Shopify's revenue growth ACCELERATED to 110% however during the 1Q 2022 their revenue growth DECELERATED to only 22%.
While many companies would love to post 22% growth,...
