finance
monthly
Personal Finance. Money. Investing.
Contribute
Newsletter
Corporate

Stock Of The Week: Shopify

Experts share their opinions to help with your investment decisions.

Posted: 21st September 2022 by Katina Hristova
Share this article

Michael Kamerman, CEO of Skilling, shares his opinion on what stock you should watch this week.

In a week that saw many stocks and major indices outperform, there were notably a few outliers on both sides. Whilst some struggled to keep up with the S&P 500’s 4% weekly gain, others stood out from the crowd.

One of these was Shopify, posting a 11.3% gain over the period.

Despite the Shopify stock price having almost completed a round-trip to its March 2020 lows, the stock split itself doesn’t change the company’s fundamentals. However, one thing that did change was the approval of non-transferable ‘founder shares’ for CEO, Tobi Lutke.

This move is to ensure that the CEO secures 40% voting power as long as he continues to serve as a board member at Shopify and will reinforce the strong leadership needed to run a business in these challenging times.

No one can deny that the volatile changes in consumer spending, owing to the current cost of living crisis, have taken the company backwards from the initial lockdown boom. However, investors shouldn’t be too put off by this as universally, it’s still not clear what the new normal will look like in terms of retail spending.

Instead, investors should be keeping a watchful eye on Shopify’s competitors, such as Amazon, and should keep assessing how the competition intensifies and unravels over these coming months.

Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 80% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Not investment advice. Past performance does not guarantee or predict future performance.

About Finance Monthly

Universal Media logo
Finance Monthly is a comprehensive website tailored for individuals seeking insights into the world of consumer finance and money management. It offers news, commentary, and in-depth analysis on topics crucial to personal financial management and decision-making. Whether you're interested in budgeting, investing, or understanding market trends, Finance Monthly provides valuable information to help you navigate the financial aspects of everyday life.
© 2024 Finance Monthly - All Rights Reserved.
News Illustration

Get our free monthly FM email

Subscribe to Finance Monthly and Get the Latest Finance News, Opinion and Insight Direct to you every month.
chevron-right-circle linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram