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2022-08-19

SHOP valuation is far below the market, a fair value should be around $50. Consider SHOP is in the same group as SQ and PYPL, the company does have revenue which they are investing a lot on R&D. The company has more cash on hand than debt. They can easily pivot just like most IT companies like Facebook and Google and reduce R&D and trim / optimize operations by reducing 10% employees. This would allow the company to turn profit sooner than later. I believe this company will soon follow the path of Google, Facebook, Microsoft, Netflix and introduce hiring freeze, layoffs and reduce R&D. $Shopify(SHOP)$

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