“Shopify stock falls nearly 7% as forecast disappoints amid escalating Amazon rivalry, price increases”
February 16, 2023
“…In their forecast, Shopify executives guided for revenue to grow “in the high-teen percentages” in the fiscal first quarter, while not providing a forecast for any profit metric nor for the full year. Analysts on average were projecting first-quarter revenue of $1.48 billion, according to FactSet, which would be revenue growth of more than 23%.
For the fourth quarter, Shopify reported a loss of $623.7 million, or 49 cents a share, on revenue of $1.73 billion, up from $1.38 billion a year ago. After adjusting for stock-based compensation, gains on investments and other costs, the company reported earnings of 7 cents a share, down from adjusted earnings of 14 cents a share in the holiday quarter of 2021.
Analysts on average expected an adjusted loss of a penny a share on sales of $1.65 billion, according to FactSet. Shopify shares declined nearly 7% in after-hours trading following the release of the results, after closing with a 6.6% increase at $53.39…”