Shopify Inc. (SHOP.TO)

It trades at a lofty valuation. He would not buy it but these things can defy gravity for years to come. There may be a lot of churn in the business. Red flags were raised by them financiering some companies in the tech business. These things come down hard and fast if things don't work out.

This is a wonderful company. From a long-term point of view, he recommends it. More shopping is moving to the internet. Shopify enables smaller merchants to get on the net and the revenue stream continues from them for a long time. However, the stock trades at lofty valuation which is causing volatility, as is a vocal short-seller. There was a recent jump in the price of the stock and there will be more in the future.

He owned it earlier this year, but took profit after a bearish analyst report. He would look to be a buyer near $110. He likes the way they are extending their runway with new extensions to their business, but seems them as too expensive presently.

He thinks $175 is the stop point. He does own it and thinks it could trade to new highs above $200. This is not a horrible entry point.

So many things good happening in technology in Canada. He admires them even as he doesn’t own is as he owns Amazon Inc (AMZN-O). They are democratizing sales. He prefers a more diversify play.

Back end office for e-commerce platform. They partnered with Amazon (AMZN-O). They have done a great job growing their business model. But they have no earnings. No free cash flows. Trading at 10 to 11 times forward sales. Interesting but not even near a valuation level that they would feel comfortable. (Analysts’ price target is $190)

He's taken aback by its high multiple and with how fast it's grown. He's skeptical when companies grow this quickly. He applauds there being a Canadian tech company, because there are so few, but there's no room for error. One earnings miss will hurt them badly.

Numbers come out tomorrow. It broke out and then came back to test the base. He is looking for the high just over $200 to be a resistance level. It will be interesting to see how it reacts tomorrow – does it sell the news. Below $149, it would change the story for him.

(A Past Top Pick on Aug. 30, 2017, Up 26%) He's lucky he made money on this, because of Citron's activism against Shopify. However, this got stopped out and he regrets he didn't hold onto it. The company continues to do well, but wait till tomorrow morning's earnings before buying. Shopify has moved $26 billion in merchandise up from $6 billion just a few years agao.

The stocks came off rapidly on a short report last year. It seems to be caught now in the Facebook downdraft. This is a buying opportunity but be cautious. You would want to be prepared to hold this for a long time. It is more appropriate for growth investors.

It is a good story, and a phenomenal stock. They address a large market and grow it. It is quite early days, but it is expensive. He has WIX.

Admit he's been critical of it and doesn't understand it as well as his colleagues. He defers to the research of others. This stock's performance has proven him wrong.

He does own this and continues to like it. It is hands down the industry leader in e-commerce. He trimmed the position as it became a large holding in their portfolio. This is a good pullback. There is a short seller trying to connect it to Facebook – ignore that as smoke and mirrors.

How will it be affected by the FB-Q thing. It would be a sympathy trade. It aggressively broke out this year. It has been parabolic. It is overbought and so you should see corrective movements. So long as the breakout above $155 is held you are probably in good shape.

Andrew Left (Citron) shorted it at $130. When will their earnings come out? Maybe 2020. So, you'll have to stomach volatility and be patient. It doesn't help that the short-seller is attacking them again, though he likes Shopify's defence. Still holds this, though he has sold some. He could dollar-cost average down the road.