21 Stocks on Jim Cramer’s Radar

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17. Shopify Inc. (NASDAQ:SHOP)

Number of Hedge Fund Holders: 64

Cramer said people tend to realize that Shopify Inc. (NASDAQ:SHOP) is much more “than just a poor man’s Amazon” once they delve into its earnings report.

“Thursday, we get Shopify’s numbers. Here’s another stock that tends to sell off on good news and then rallies when people parse it out and realize that, wow, this company’s more than just a poor man’s Amazon.”

Shopify (NASDAQ:SHOP) provides a platform that enables merchants to manage and sell products through multiple channels. It offers tools for inventory control, payment processing, analytics, and securing financing. Artisan Partners stated the following regarding Shopify Inc. (NASDAQ:SHOP) in its Q4 2024 investor letter:

“Among our top Q4 contributors were Atlassian and Shopify Inc. (NASDAQ:SHOP). Our conviction in Shopify grew after it decided to exit the logistics business in favor of a capital-light partnership model, which we viewed as significantly narrowing the downside range of outcomes and allowed it to focus on what it does so well: developing great e-commerce software solutions for brands of all sizes. We have been encouraged by Shopify’s subsequent pace of innovative new product enhancements, including using AI assistants to help brands run their businesses. Shares rallied after the company reported strong earnings results, including 24% growth in gross merchandise volume, and management raised its forward guidance.”

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