E-commerce for tomorrow: buy and hold

Shopify went through a notorious rollercoaster ride in late 2021 - plummeting from a towering $168.85 down to a mere $26, it seemed like the world was crumbling around them. But alas, this triumphant tale takes an unexpected twist. Shopify dusted itself off, stood tall, and surged back up to a respectable $62.25 today. And more importantly, rising - so a good investment in the making.

But the excitement doesn't end there. Revenue projections for this year are off the charts, set to soar to a mind-boggling $6.7 billion. That's a whopping 20% growth compared to last year's impressive $5.6 billion. That’s a testament to Shopify's sheer strength, and let's not forget the big-name household brands that have found solace in the loving arms of this e-commerce powerhouse: Huel, Decathlon, Redbull, Heinz, Victoria Beckham, and the list goes on. Can we agree this is “major validation"?

But of course, every success story has its hurdles, and Shopify faced its fair share. Last May, they made the tough call to let go of 20% of their workforce. It was a move prompted by CEO Tobi Lütke, admitting that they misjudged the long-lasting impact of the Covid-induced e-commerce frenzy. Hats off as the smart folks at Bloomberg gave a nod of approval to this prudent decision. It's all about adjusting, my friends, and Shopify showed us how it's done.

Now, let's talk hedge funds, shall we? Armistice Capital LLC, a heavyweight New York-based player recently shook things up by significantly reducing its stake in Shopify Inc. You might think this would send shockwaves through the investor community, but surprise, surprise! It seems that other investors see something different. In my opinion, this move and (non existing) knock on effect only serves to underscore Shopify's resilience and solidify its status as a top-notch software giant.

Shopify has made the necessary adjustments to weather the storm. They're on a one-way path to a robust Q2 Earnings Report, slated to come out strong from the call late in July. They are growing, steady and a great company. Just not growing at Pandemic rates (which you would think is to be expected).

I sense opportunity on the horizon, and am making my move today: BUY!