Shopify Inc. (SHOP.TO)

This offers investors an exciting way to play a growing global cloud-based business that helps enable small and medium-sized merchants. This is a very sticky product, very low cost, huge addressable market. (Analysts' price target is $188.)

It had a bit of a tumble 3 or 4 months ago and he had a serious look at it. It got almost into the buy range. He missed it. It is a great company but he can’t get his hands around the valuation. He would take his original investment out and then it does not owe you anything.

Had first bought this in the $60s and has since added across all his models, even though it doesn't quite fit his criteria. Their net income isn't there yet, but the top line growth has been phenomenal. They got sideswiped because of a Short report last year. It’s now reaching its all-time highs, which is quite Bullish. There has only been one quarter of results out between the Short report and now. It is building a rising wedge pattern, which is fairly bullish. If he sees it punch through $150 on heavy volume, that range is going to be behind us. Buy this with a minimum of a 3-5 year time horizon.

It was a poster child stock last year. They always had an extremely high valuation. No earnings. It is all forward looking. You can’t put a multiple on it. You are relying on continued rapid growth. If it had a bad quarter it could really fall off a cliff. It had gone sideways for about 6 months, so is falling in his ranking. It is a small short for him right now.

An amazing platforming company, helping greenhorns and others in getting into the marketing game. A splendid generation of green Internet usage. There are no earnings, and there is a tendency to say that if you've actually got it, it would probably be prudent to take a 3rd of your holdings out. If you don't have it, you would be speculating. He would prefer something that is not trading this high.

(A Top Pick Feb 15/17. Up 80%.) An e-commerce play that has been a very consistent story.

Canada's largest e-commerce enablement company. The revenue model is by taking a percentage of sales their merchants generate from their site, and partly subscription based, for hosting their e-commerce enabled web site. The connectivity is very good in that they allow the merchants to sell on social media, the web, Amazon, bricks and mortar stores, etc. (Analysts' price target is $188.)

A very solid, up-and-coming Canadian tech company that is pretty established in their niche, and just emerging into profitability. However, the near-term opportunity is gone. It is probably into a 2-3 year period of backfilling of valuation now. They are going to have to produce some profits to backfill the $10 billion valuation they've received. He would look elsewhere. If you own, consider taking a few profits.

Chart shows a long upward trend through to October when it sort of got broken. However, a new upward trend has been established. The stock is pretty volatile, and the indicators are starting to turn up. He would look if it broke through a little downtrend and took a stab at $154.

A Buy or a Sell? A great business. They have a great product trying to facilitate the online merchants transition for small/medium sized businesses. He wouldn’t buy at this point. Had a tremendous run over the last number of years. It’s one they are watching and perhaps on a pull back, they would get an opportunity to buy into it. Valuation seems full at this time. It’s hard to get excited when they don’t see meaningful upside.

Doesn't really understand how you can just keep putting out websites and making money. Feels the concept is fundamentally flawed. To him the franchise is not a sustainable long-term model.

Got beat up by the Short sellers, but their business is good. They've never missed a quarter and have almost $1 billion in cash. They are going to be profitable next year, and the earnings are going to grow out about 400%-500% on a per share basis. They are now the dominant player in facilitating online merchants. Has a tie with Amazon (AMZ-Q), which is always risky, because of Amazon's power. The Short thesis was that it was a multilevel marketing company, i.e. if I joined Shopify, and got you to join, I would get paid. That was simply wrong. A US hedge fund just picked up 8% of the company. (Analysts' price target is $151.00.)

(A Top Pick Feb 3/17. Up 94%.) Took his positions out at around $122 when he felt it was becoming a target by activists. It has yet to make any earnings. If it sold back under $100, he would have another hard look at it.

(Market Call Minute.) This has been consolidating. It's in a very good theme. He would buy this stock.

The growth should continue but he questions the amount of churn that they don’t disclose – businesses that start up and don’t survive. The market is starting to question these issues from the volatility.