SHOP

Shopify Inc

TMT, Consumer


Presented:04/20/2016
Price:$31.50
Cap:$2.46B
Current Price:$81.93
Cap:$105.72B

Presented

Date04/20/2016
Price$31.50
Market Cap$2.46B
Ent Value$2.36B
P/E RatioN/A
Book Value$2.44
Div Yield0%
Shares O/S78.00M
Ave Daily Vol716,573
Short Int3.36%

Current

Price$81.93
Market Cap$105.72B
Shopify, Inc. provides a cloud-based commerce platform designed for small and medium-sized businesses. Merchants use its software to run their business across all of their sales channels, including web, tablet and mobile storefronts, social media storefronts, and brick-and-mortar and pop-up shops. Its platform provides merchants with a single view of their business and customers and enables them to manage products and inventory, process orders and payments, build customer relationships and leverage analytics and reporting. The company mainly focuses on Merchant Solutions and Subscription Solutions. Shopify currently powers over 160,000 businesses in approximately 150 countries, including: Tesla Motors, Budweiser, Google, Wikipedia, LA Lakers, GoldieBlox, and many more. The company was founded on September 28, 2004 by Tobias Albin Lütke, Daniel Weinand and Scott Lake and is headquartered in Ontario, Canada.

Publicly traded companies mentioned herein: Shopify Inc. (SHOP) and Amazon (AMZN).

Highlights

Shopify is a leading one-stop shop for SMBs to create a Web/ e-commerce presence, offering site design and hosting, transactions and payment processing/ back-end. The presenter is long the stock on the belief that the company’s superior mousetrap will lead to continued merchant growth on the platform, with annual growth of around 80% on average over the last several years. The Street, meanwhile, is currently modeling for just 20% annual growth. The company’s sweet spot is small companies that generally have fewer than 10 employees. All told, Shopify believes that its total addressable market could be as many as 46 million SMBs.

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Idea Discussion

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