How Much Shopify Stock Do You Own? It’s Probably More Than You Think

Shopify (TSX: SHOP) stock is set to release third-quarter earnings today, and the momentum looks seasonally bearish.

The first and third quarters are seasonally weak for Shopify.

Thus, the 12% correction in the last 15 days comes as no surprise.

In fact, this is an opportunity to buy the stock ahead of the holiday season rally.

Is e-commerce a good investment?

Shopify stock is highly volatile, with a 40%–50% rally and dip being a normal course of trading.

The stock surged 40% between September 15 and October 15, in the run-up to the holiday season before a correction.

As we enter the holiday season, the stock could see earnings spurt, and this time artificial intelligence (AI) contribution to sales could drive the rally.

Alphabet’s recent earnings showed how its AI Overview on the search engine was affecting its traditional ad revenue.

The market is keeping a close watch on AI return on investment (ROI).

If Shopify can show a reverse trend to what Alphabet showed, its stock price could grow significantly.

Even if it doesn’t, the stock will likely rally 30–40% in the holiday season.

How much Shopify stock do you own?

Although volatile, Shopify is a resilient growth stock that fits multiple investing styles.

Continue reading at the original source →