SHOP Drops Despite Holiday-Quarter Revenue Pop

The equity's RSI is sitting just on the cusp of "oversold" territory

Digital Content Manager
Feb 17, 2021 at 10:13 AM
facebook X logo linkedin

The shares of Shopify Inc (NYSE:SHOP) are off 7.8% at $1,354 this morning, after the company posted its fourth-quarter earnings, which included a 94% jump in revenue to $977.7 million, beating Wall Street's estimates. The firm's earnings also topped estimates, while it said it expects a return to "normalized" growth this year.

Despite this, SHOP is dropping from yesterday's all-time closing high of $1,474 -- just within a chip shot of its $1,499.75 record peak, touched on Feb. 10. Digging deeper, the equity's relative strength index (RSI) of 74 sits just on the cusp of "overbought" territory, suggesting a short-term pullback could be on the horizon. Despite today's drop however, the e-tail concern is still up nearly 177% in the past 12 months. 

Analysts have yet to comment on Shopify's earnings beat, though coming into today, the brokerage bunch was split on the stock. Of the 25 in coverage, 14 considered SHOP a "strong buy" and 11 said "hold" or worse. 

Short sellers, meanwhile, have been hitting the exits. Short interest dropped nearly 15% in the last reporting period, and now makes up just 1.1% of the equity's available float, or less than one day at its average pace of trading. 




Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI