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How do Shopify's products fare against competitors in the e-commerce platforms & retail POS space?

Updated: Oct 11, 2022

[Answer]:

  • Good

  • According to G2.com & Gartner

    • Shopify & Shopify Plus is the best in the E-Commerce Platform provider

    • & their Retail POS system is ranked the best in g2.com

  • And they are also far ahead of their competitors

    • in terms of

      • social media ranking

      • google search trends &

      • site traffic

  • However, their android app ratings could be improved.

  • Refer to the full list of Shopify's products reviews (vs their peers) here:


[To note however]:

  • Although Shopify's stock is down 84% from it's all-time high price

  • and can provide a whooping return of up to 500% when the stock price rebounds.

  • Investors ought to be cautioned that the stock is still by no means undervalued as of now,

    • since when it does go back to its all time high price,

      • with its current LTM revenue amount

    • the stock will carry a PS ratio of 43x

      • which is a very high valuation amount.

  • Assuming if Shopify is able to obtain 14% yearly revenue growth in the coming years

    • it would take Shopify up to 7 years (by 2029) to reach a more sensible valuation of 18x PS ratio.

  • Hence for this reason,

    • I am currently not invested in Shopify, and am keeping it in my watchlist instead,

    • although the underlying fundamentals of the company are good.


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