In-store sales growth seems to continue climbing thanks to supply-chain demand causing disruptions. That slowdown in e-commerce growth is the main culprit behind the fall in Shopify stock. Analysts reduced their price targets, with this being the lowest target since July.
When we were writing we ran into the inquiry “Why is Shopify stock down today?”.
The growth stock is likely down due to a combination of a tough day in the overall market and another price-target cut on Shopify shares from an analyst.
Moreover, why did Shopify’s shares drop 8% Thursday?
I found the answer was shopify (TSX: SHOP) (NYSE: SHOP) saw shares drop more than 8% on Thursday, reaching lows not seen since last May. , and the reason? Developers came in droves against Shopify’s new developments in its app store.
Yet another query we ran across in our research was “Why did Wedbush lower its target price target for Shopify stock?”.
This move follows Wedbush’s decision yesterday to lower its price target on the stock. Wedbush analyst Ygal Arounian gave shares a $1,296 price target (down from $1,500), citing concerns about rumors that the company is facing some challenges to successfully build out its fulfillment network.
Will Shopify’s growth rate be lower in 2021?
However, in its latest earnings report, the company admitted that future growth rates could be lower than the previous year. Over the course of 2020, Shopify’s revenue expanded a jaw-dropping 86% to $3.7 billion. While management expects double-digit growth in 2021 too, they admitted that the rate could be lower than 86%.
Why does Shopify need developers?
And this is all super important if you’re a new merchant looking to find the right customization for the right price. Shopify has more than 7,000 apps in its App Store to help design their platform. Therefore, Shopify needs developers to attract and keep merchants.
Shopify Inc. is a Canadian stock, trading under the symbol SHOP-T on the Toronto Stock Exchange (SHOP-CT). It is usually referred to as TSX: SHOP or SHOP-T Is Shopify Inc. a buy or a sell ? In the last year, 38 stock analysts published opinions about SHOP-T. 21 analysts recommended to BUY the stock. 13 analysts recommended to SELL the stock.