Adobe (ADBE 0.64%) and Shopify (SHOP -1.88%) are both excellent businesses, but only one is a better buy for long-term investors.
Shopify has shown resilience amid weaker consumer spending concerns, with revenue and GMV accelerating despite a tough macro environment, justifying its premium valuation. SHOP has dipped ~20% from recent highs, presenting a buying opportunity given Shopify's strong growth and innovative product releases like Shopify Tax and Managed Markets. International growth, particularly in Europe, is outpacing the U.S., driven by new products and automated sales tax compliance, signaling further upside potential.
Shopify (SHOP -1.88%) has arguably become the most prominent U.S.-based e-commerce stock behind Amazon. A fast, easy-to-use sales site and an extensive ecosystem helped it stand out above most other e-commerce platforms.
Shopify has rebounded strongly since October 2022, positioning itself as the 'Operating System' of the retail industry with significant growth potential. The company excels by offering a comprehensive, technologically integrated platform, catering to diverse retail needs and attracting both SMBs and large enterprises. With robust financial performance, including a 26% revenue increase in Q3, Shopify's profitability and growth prospects are impeccable.
Shopify (SHOP -3.65%) stock gained 37% in 2024, according to data provided by S&P Global Market Intelligence. The market is getting more excited about the e-commerce platform as it continues to report robust growth and improving profitability while the e-commerce market grows, and moderating inflation could boost consumer spending.
Shopify (SHOP) is well positioned to outperform the market, as it exhibits above-average growth in financials.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price.
Shopify (SHOP) reachead $107.64 at the closing of the latest trading day, reflecting a +0.81% change compared to its last close.
Shopify benefits from a booming merchant base, expanding partnerships and a strong solutions portfolio.
Shopify Inc (TSX:SH., NYSE:SHOP) shares moved higher after the eCommerce platform was upgraded to ‘Outperform' by Wedbush analysts.
The latest trading day saw Shopify (SHOP) settling at $107.53, representing a +1.13% change from its previous close.
Shopify's (SHOP -0.34%) stock closed at its all-time high of $169.06 on Nov. 19, 2021. That 9,845% gain from its initial public offering (IPO) on May 21, 2015 would have turned a $1,000 investment into $99,447 in six and a half years.