After taking some time to look through their financials, I view last night’s sell off more as profit taking behaviour rather than a sell due to bad news.
The company is expanding its revenue at a good pace and their fees charged to merchants have increased as well without a drop in users.
Most critics view their drop in operating margins to be a cause for concern but this can be attributed to Shopify’s expansion in the international market as well as a new revenue stream (that is partnering PayPal and OpenAI).
All these new streams do incur higher costs at the start but it’s strengthens Shopify’s value and top line.
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