Shopify Subordinate Voting Ord Shs Class A T.SHOP

Alternate Symbol(s): SHOP

Technology Information Technology Services

Shopify Inc. (Shopify) is a Canada-based global commerce company. The Company provides essential Internet infrastructure for commerce, offering tools to start, grow, market and manage a retail business of any size. It provides platforms and services that are engineered and delivers a shopping experience for consumers online, in store and everywhere in between. Its software enables merchants to run their business across all of their sales channels, including Web and mobile storefronts, physical retail locations, social media storefronts, and marketplaces. The Company's Shopify platform provides merchants with a single view of their business across all of their sales channels and enables them to manage products and inventory, process orders and payments, fulfill and ship orders, build customer relationships, source products, leverage analytics and reporting, and access financing, all from one integrated back office. The Shopify's platform operates across 175 countries.

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Shopify Subordinate Voting Ord Shs Class A > Undervalued?

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Comment by AlwaysLong683on Jun 17, 2022 12:36am

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Post# 34763476

RE:RE:RE:RE:RE:Undervalued?

Here's my take:

The playing field has changed for SHOP since 2019:

1) As others have mentioned arleady, two words: Amazon Prime
Correct me if I'm wrong, but isn't Amazon's expansion of their Prime service designed at least in part to take away as much of SHOP's market share as possible?

2) Was the $2.1B Deliverr acquisition a shrewd move by SHOP to go toe-to-toe with Amazon in the small-to-medium size business segment of the market, or an overpriced Hail Mary pass. In other words, can SHOP + Deliverr compete with Amazon + Prime....? Would it have been a better idea to just contract out the services Deliverr provides with Deliverr itself and/or another company instead of paying over $2B to absorb it whole?

3) Borrowing costs and inflation are going up, so SHOP clients will likey be more price-sensitive than ever. Amazon likely has the clout to simply cut prices for their services to a point where they'll take the short-term loss to win over SHOP clients. If they do, can SHOP match or beat those prices and/or offer services that Amazon can't match....?

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