Bert on SHOP

Bert on Shopify:…

“My investment thesis suggests that this sense is totally misplaced. I believe that SHOP has a long-term future of strong growth and profitability. I think its opportunity still is very significant and far from saturated. I believe the international opportunity for SHOP is substantially underrated. I think some of the enhancements it is making to its offering will appeal to many users. Shopify Payments, Shipping and Capital remain growth drivers. And the opportunities that the company has been developing with its Plus offering remain under appreciated.”

"I am inclined to believe that most is well at Shopify and that negative commentators are either wrong footed or have accentuated the negative, to turn an old song title on its head. I think SHOP has many levers to pull to sustain growth above 40%. I think the company is not engaged in chasing its tail with regards to margins. Competition remains below the horizon and the company has been successful for sure in selling ancillary services to its base. I think the shares offer significant positive alpha over the next year or more as the success of some of its initiatives become visible.

Disclosure: I am/we are long SHOP, SQ, WIX."