Shares of Shopify (NYSE: SHOP) were pulling back today on a pair of conflicting analyst notes on the stock. Additionally, the broader sell-off in tech stocks today also seemed to weigh on Shopify shares. Pinpointing the threat from Amazon's Buy with Prime program that is set to roll out to all eligible vendors tomorrow, UBS analyst Kunal Madhukar reiterated a sell rating on Shopify.
Shopify (NYSE: SHOP) has seen its share price tumble 70% since peaking in late 2021, dragged down by a combination of slowing growth and weak guidance, both of which can be traced back to the challenging economy. For context, the stock has never fallen more sharply at any point since Shopify became a public company in 2015. Shopify saw revenue growth slow to 25% over the past year, a shocking deceleration from 71% revenue growth in the previous year.
For the first time in 12 years, Shopify (NYSE: SHOP) is raising prices. The e-commerce software peddler hiked rates on its Basic, Shopify, and Advanced tiers by about 33%, leaving the most expensive Shopify Plus plan untouched at $2,000 a month. The move comes after Shopify has been rocked by the pandemic hangover as e-commerce growth slowed dramatically last year after booming in 2020 and 2021.