Quote:
Originally Posted by pandy
When you said they ran aground, I thought you meant Shopify imploded. The stock is trading at $94 and was $37 a year ago. From what I read, the guy who knocked Shopify, Andrew Left, isn't always right, no pun intended.
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I guess it depends how you define ran aground.
Andrew Left has a decent enough track record with his short calls.... Valeant (VRX) being the one he is probably most known for.
My purchase decision for SHOP was based on:
a. Strong growth prospects for the sector (the cloud slash e commerce.)
b. Strong performance of the company vs. competition within the sector.
c. Impeccable (enough) management and ethos.
FYI, prior to making the initial purchase I did some due diligence... I looked at financial statements which clearly showed the kind of growth that Tom Gardner at The Motley Fool had written about. (Which cemented the idea in my head that Shopify has a great product and is well positioned to take advantage of a growing sector.)
Ok. That checks the boxes for items a and b above.
However, for item c, I was relying on The Motley Fool to have done a better job in the way of due diligence than they did.
After watching the video where Andrew Left suggested the FTC get involved, I went to the Shopify site and saw the "You too can be a millionaire" testimonials he was talking about.
At that point I was having serious enough doubts about the box for item c above being checked - that I decided to get out.
Who knows? Andrew Left comes off (to me) as a sensationalist and SHOP might not be broken after all. It may well have plenty of upside from here.
But until I see better evidence of item c above: I'm out.
Besides, there are plenty of other companies that check boxes a, b, and c above -- that (hopefully) have potential for decent returns of their own.
As to your point Bob, Tom Gardner of The Motley Fool first recommended SHOP back on July 15, 2016 when it was trading for $32 a share. (At today's close it was was $98 a share.)
Why in the hell would anybody in their right mind be complaining about that?
-jp
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