Shopify stock has fell 50% in about 6 months! Should you buy SHOP stock now? If you have any comments or questions with my SHOP stock analysis and chart analysis, drop me a comment down below!

Key Points:
- Shopify stock has been seeing a lot of negative momentum the past few months. This is likely due to a higher interest rate environment affecting large PE growth stocks. However, at a 27 PE multiple, Shopify may actually not be considered a high PE name, if the stock continues to grow. Investors may be concerned for growth forecasts the company provided, contributing to negative market sentiment in the name.

- Shopify stock is seeing a lot of fundamental growth in the top line revenues, likely due to the growth in the macro trend of e-commerce. The ecommerce business however, seems to be spending incredibly large amounts of money for operating expenses, which may not contribute to an investors return on investment. Investors should consider the operating expenses greatly, and consider the risk that Shopify is unable to pay for growth.

- Investing in Shopify stock is a bit risky at the moment. There is a lot of momentum and sentiment in the company at the moment, so we could see large volatility in the next few days, because investors are digesting the earnings report and because of the overall market volatility. As always, you have to consider the upside and downside risks before investing in the stock.

Talk to Brandon on Discord:
  / discord  

Link (1) SHOP stock investors concerned over growth slowdown (Barrons):
https://www.barrons.com/articles/shop...

Link (2) SHOP stock impacted by market sentiment (Investopedia):
https://www.investopedia.com/terms/m/...

Link (3) SHOP stock impacted from resetting expectations (Barrons):
https://www.barrons.com/articles/stoc...

Link (4) SHOP stock management may be sandbagging to control market expectations (Investopedia):
https://www.investopedia.com/terms/m/...

Link (5) SHOP stock most recent earnings report:
https://s27.q4cdn.com/572064924/files...

Link (6) Real time trading chart of SHOP stock: https://thestockstudents.com/tradingv...

Subscribe: http://bit.ly/thestockstudents_subscribe
Website: thestockstudents.com

Disclosure:
I do not have any positions in SHOP at time of recording
thestockstudents.com/disclaimer

#Shopify #SHOP #stockmarket