Shopify Inc. (SHOP.TO)

SHOP has done an incredible job. Is a great business, generating a lot of free cash flow in coming years. They sold some assets that they needed to. Small businesses use Shopify, so they have a great growth profile. Will continue to do well. Are executing better now than a few years ago.

Has been breaking down on a relative strength basis, but falling more than the overall market. Next support is $180. The 2-month chart shows a head and shoulders pattern and continues to decline, an awful chart. The downtrend will continue.

He tends to look south of the border for tech names. Performed well since mid-2022. Very nice pattern of higher highs and higher lows. As well, 200-day MA is moving higher. Valuation is where he stops and thinks twice -- 91x forward PE, for 30% growth. That's a 3x PEG ratio, pricey relative to other mega-cap tech names.

Margins under pressure from greater transaction losses. Very exposed to small-medium businesses, which tend to have higher failure rates. Competition from AMZN, CRM and ADBE.

Nice long-term trend. Recently made significant higher high, which wasn't parabolic so it's not super-overbought. Pulled back within the trend, and it's anyone's guess how far down it goes. Probably won't drop all the way to trendline of ~$150, unless something really goes wrong.

A buying opportunity if it falls a little bit more and then finds a base.

Volatile, because it's high-growth and high PE. SHOP is doing very well in Europe. Is a fine long-term hold. 

Volatile. Valuation high. Annual growth rate is high 20s-30%. Unique position in the market. Reminds him of AMZN 8-10 years ago. Now generating better operating profit and operating profit margins. Should start to see a lot more of the growth flow to the bottom line.

Continues to like. No reason to sell. He owns a decent position, though not "index weight".

Are well-run. Their challenge is to move from providing back-end services for their customers to drive customers to those small businesses--that's where the money is. That has been very difficult for Shopify, but are using AI now. They need to solve this before would consider this stock.

Likes the story. Total addressable market is massive. Trades at a huge multiple of 100x PE. Volatile, and you have to be able to stand that. Not suitable as a significant part of your portfolio. Unique. Its mousetrap works better than many others. Growth trajectory very good.

He made some nice $$ on it as it reached former peaks. But the stock blew by those and took out old resistance of 2021 highs. That's a breakout, and it's bullish, so nothing wrong with this stock.

High-priced stock, moves around. Big piece of the Canadian index, so an important stock for institutional investors. Nothing else like it in Canada, so it'll get lots of attention. RSI improving for last 18 months. Trading better than 91% of companies in the S&P. In general, earnings estimates being revised higher.

Coming up on old highs from 2021, so may be a bit of technical resistance. Growth stock. Right now, he's leaning more toward cyclical companies. But nothing about SHOP tells him it's not worth owning.

Remains very highly ranked within Canada on RSI. Bottomed out in April, but upward trend for a year now. Continues to go up. In tech, retailers have been picking up as central banks have started to cut interest rates.

Increasingly turning to enterprise customers. Lots of room for e-commerce to grow. Expanding to other jurisdictions and geographies. Long runway for growth. Expensive, but so it always is with great companies that disrupt and define a whole new segment.

A solid hold. Don't buy aggressively. Multiples are high, but execution phenomenal and will continue to. Margins will continue to expand. They are innovative. 

Are delivering on revenues; have upped that guidance in the past 2 quarters at 25% revenue growth. Have found their niche in mid/small businesses, a market that will continue to grow.  The valuation has fallen, though has never been low. Are hitting cash-flow break even, and are on the verge to  accelerate earnings growth. They have staying power.

Fantastic business; however, has done well partly because it's one of a very few tech names in the TSX. Worries about valuation. Technicals are doing well -- higher highs and higher lows, above 200-day MA. But PEG ratio is over 3x. PE is about 90x, and forward is the same, for 30% growth rate. Any hiccups on meeting expectations, and the stock has a bit to fall.

Better risk-adjusted names elsewhere.