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Is it Time to Buy the Shopify Dip?

By Jose Najarro - Updated Mar 12, 2021 at 9:04PM

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Shopify just reported earnings and they seem to be great, but the stock price has been pretty volatile. Is 2021 the time to buy?

Are you looking to get more exposure to the e-commerce sector and searching for a stock on sale? Well, let's talk about Shopify (SHOP 0.54%). The company recently reported great earnings, but the stock price is down about 6% from its all-time highs.

Shopify helps its customers transform their businesses into full-running e-commerce machines, from app development to logistics, payments, and much more. In its most recent earnings presentation, Shopify showed that it's currently No. 2 in U.S. retail e-commerce sales for 2020.

Shopify's fourth-quarter revenue is up 94% year over year, and its 2020 revenue is up by 86% year over year. Not only is Shopify seeing substantial revenue growth, but its gross merchandise value is up over 96%. And the final icing on the cake: this company has a very healthy balance sheet, with over $6 billion in cash and short-term investments and less than $1.5 billion in total liabilities.

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Stocks Mentioned

Shopify Inc. Stock Quote
Shopify Inc.
SHOP
$31.41 (0.54%) $0.17

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