that's $330,000 is now $150,000. What percentage of your portfolio was it? I never really understood what shopify was, it seemed like most of it were drop shippers and people thinking they can make $100 t-shirts.
Especially after Citron Research came out with a damning report on inflation of metrics.
I really don't get all the people cheering on Shopify in the comments for this acquisition when they are missing earnings by a huge margin and faces existential crisis...it's ngmi
If you were working in e-commerce you'd know why millions of merchant use them, it's a good and easy software to use. They have tons of problems, like any company, but people are migrating TOWARDS shopify, not the other way around, in huge majority.
Etsy, amazon, eBay, all missed earnings due to lower ecom growth after covid. People are cheering the product, not the stock price. Clearly those 2 are not always correlated (even if clearly they could do better)
I don't know about the others but Amazon missed things because of a $7B+ loss on Rivian investments. Otherwise their growth had slowed, but the actual core business is still growing.
The Rivian investment is a bit of a head scratcher though. I get that electricity costs could bring down shipping costs vs. ICE vehicles, but they could order their 100,000 trucks without buying 20% of a business that's somewhat orthogonal to their core competency, which is definitively not vehicle manufacturing. Sure they're more of a logistics business than retailer at this point but owning a manufacturer... do they have big stakes in the established traditional manufacturers?
Andrew Left's research methods were flawed to say the least, if they were even worthy of the word 'research'. A bit of Googling and then concluding the company is lying since he can't find all the Shopify stores. The FTC investigation he was so sure of never materialized and he deleted the video from https://citronresearch.com/citron-exposes-the-dark-side-of-s...
It's about 10% now of my trading portfolio right now. I've been selling options on SHOP for the past few years since the premiums are high, but admittedly I got caught flat footed on this one. My cost basis in SHOP is much lower given the huge premiums I've collected over the past 2 years.
Never forget though, the premiums are/were high for a reason.
