27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
Shopify Inc (NYSE:SHOP) held its Unite partners and developers conference June 18-20 in Canada.
The company's recently announced fulfillment, international expansion and retail initiatives should complement its core mission and enable the e-commerce platform to generate “a high rate of sales growth, for years to come,” according to D.A. Davidson.
The Analyst
Tom Forte maintained a Buy rating on Shopify and raised the price target from $290 to $400.
The Thesis
After attending the event, D.A. Davidson’s expectation for Shopify’s long-term adjusted EBITDA margin to expand to 40.0% — versus 3.6% in 2018 — remains unchanged, Forte said in a Friday note. (See his track record here.)
Meetings with partners, developers and management increased the analyst's conviction regarding the company’s vision of being “the first global retail operating system for the globe's largest community of entrepreneurs," he said.
Shopify has a strong management team, and CEO, Tobi Lutke has the capability to disrupt Amazon.com, Inc. (NASDAQ:AMZN), Forte said.
The analyst also cited Shopify’s “thought process for capital allocation and prioritizing opportunities, including when it decides to create solutions and when it relies on its partners and developers' network” as another key insight that boosted his conviction in the company’s potential.
Price Action
Shopify shares were down 3.46% at $315.46 at the time of publication Monday. The stock was downgraded by another sell-side firm, Roth Capital, from Buy to Neutral.
Related Links:
10 Biggest Price Target Changes For Monday
Shopify Analysts: New Fulfillment Network Meets Demand For Two-Day Shipping
Photo courtesy of Shopify.
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
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