Shopify

Posted on | by Leon Hinde | Leave a Comment on Shopify

Shopify Inc. Class A Subordinate Voting revenue is expected to grow by 20% to $8.5 billion in 2024. Currently trading at 8.8x estimated sales, Shopify remains undervalued relative to its software and e-commerce peers with a similar growth profile.

We rate SHOP a buy within the $50 – $60 price range.

Q1 2024 revenue increased 23% to $1.9 billion compared to the prior year, which translates into year-over-year growth of 29% after adjusting for the sale of our logistics businesses

Paypal

Posted on | by Leon Hinde | Leave a Comment on Paypal

PayPal Holdings, Inc. – Common first-quarter results show a 9% revenue increase and a 14% rise in Total Payment Volume, driven by enhanced features in Venmo and strategic market expansions.

The number of people using Venmo has gradually increased, from a low of 3 million in 2015 to a high of nearly 78 million as of the end of 2023.

FCF, which touched $1.763 billion in Q1 2024 alone. This resurgence can be attributed to, among other factors, robust management strategies, such as buying back shares aggressively in response to the stock’s depressed valuation, which suffered from a significant pullback of 80% in the last few years.

In 2023 alone, PayPal redirected $4.4 billion to buybacks,