I think it’s pretty simple why Shopify has taken off recently and Square is in consolidation. Both of these companies have become story stocks. Even institutions who are chasing performance will put their money into the one with the better story rather than the better growth rates.
In 2017 with Bitcoin being all the rage, Square aligned itself to it giving consumers the ability to buy Bitcoin using the cash app. When the headlines hit that Square was outpacing Venmo in the App Store the stock skyrocketed with the story being that maybe it was Bitcoin as the reason. It certainly helped Nvidia.
With the value of Bitcoin going down so did the stock along with Sarah leaving in 2018.
With the legalization in Canada of marijuana and Shopify aligning themselves with it, I think we are seeing the same phenomenon.
https://www.fool.com/investing/2018/08/13/introducing-the-ne…
Like many of you I bought Square in the 20’s and something feels wrong about ‘switching horses’ with Shopify running up already doubling while growth rate slowing considerably. Again I think that Jack Dorsey will find another catalyst to get this thing moving again and early Square investors have to be patient. Investing is a patient game. What consolidates usually skyrockets with a little patience. Ive seen it too many times. I’m holding on to my shares.