5 Growth Stocks to Buy According to Jay Chen’s Himension Capital

3. Shopify Inc. (NYSE:SHOP)

Himension Capital’s Stake Value: $159.3 million

Percentage of Himension Capital’s 13F Portfolio: 15.46%

Number of Hedge Fund Holders: 85

Jay Chen’s firm doubled down its position in Shopify Inc. (NYSE:SHOP) during the second quarter of 2020. His strategy appears to be working once again as shares of the e-commerce platform have extended the upside momentum into 2021, with shares up 25% so far this year amid robust financial numbers. The company’s subscription solutions revenue grew 70% year-over-year in the second quarter while merchant solutions revenue soared 52%. Moreover, the company expects its full-year 2021 adjusted operating income to top the level achieved in 2020.

In the second quarter investor letter, ClearBridge Investments, an investment management firm, mentioned a few stocks including Shopify. Here is what  ClearBridge Investments stated:  

“Shopify (is one of the) companies that have become go-to platforms for small and medium-size businesses (SMBs) engaged in e-commerce and social media marketing, rebounded strongly in the quarter after being caught in the selloff among high-multiple growth names since Vaccine Monday. These and the portfolio’s other disruptors had thrived through the first part of the pandemic, leading us to trim positions into strength and reallocate cash into more attractively priced evolving opportunities and steady compounders that had been overly punished by lockdowns and a drop in economic activity.”