Company News

BUZZ-Shopify Inc: Falls after 5-star analyst moves to sidelines

** U.S.-listed shares of e-commerce software maker fall 2.1% to $305.32 premarket after Wedbush downgrades stock to “neutral” from “outperform”

** While brokerage likes co’s positioning and competitive moat, it believes that shares appropriately reflect value ahead

** NYSE-listed shares of SHOP have more than doubled in value this year

** Last week, the company introduced Shopify fulfillment network, which provides merchants with a network of distribution fulfillment centers, and Wedbush doesn’t expect it to generate profits until 2023

** Wedbush’s Ygal Arounian, however, sees Shopify as a long-term winner in ecommerce

** Arounian, rated 5/5 stars by Refinitiv, hikes PT to $305 from $270; median PT $312

** Current avg rating on stock is “buy” (Reporting by Amy Caren Daniel in Bengaluru)