What happened

One day after posting a big shortfall, Shopifyit’s (NASDAQ: SHOP) the stock price continued to fall on Wednesday. The e-commerce solutions provider saw its shares fall nearly 12% as many analysts cut their price targets.

So what

In the end, it could have said “National Reduction Goals on Shopify Shares Day”. Almost every major bank hedging the once-hot growth stock has seen fit to cut levels.

Image source: Getty Images.

Among the cutters was Goldman Sachs tipster Gabriela Borges, who cut her target by nearly half — to $833 per share from $1,570 previously. However, it maintains its neutral recommendation on the stock.

This dynamic was similar to the adjustment made by German Bank analyst Bhavin Shah. It is now $900, but was previously $1,400 with the hold (i.e. neutral) recommendation still in place.

Still, many Shopify bulls remain among the professional investor community. Jefferies‘Samad Samana is one. While he has reduced his target from $1,800 to $1,350, he retains his buy designation on the stock.

“[Operating and capital expenditures] will increase significantly over the next few years (2022-2024), limiting medium-term profitability,” Samana wrote. However, “we remain positive as 4T continued to show progress on our [long-term] thesis,” he added.

Now what

Such reactions were to be expected, as Shopify largely missed analyst estimates for its fourth quarter. Collectively, those tipsters predicted $1.69 billion in revenue and net earnings per share of $1.58. The company posted $1.38 billion and $1.36 billion, respectively. Shopify’s forecast was also concerning – it expects revenue growth in 2022 to be below last year’s level.

Find out why eBay Marketplace Israel Ltd. is one of the top 10 stocks to buy now

Our award-winning team of analysts have spent over a decade beating the market. After all, the newsletter they’ve been putting out for over a decade, Motley Fool Equity Advisortripled the market.*

They just revealed their top ten picks of stocks investors can buy right now. eBay Marketplace Israel Ltd. is on the list, but you may be overlooking nine others.

Click here to access the full list!

* Portfolio Advisor Returns as of January 20, 2022

Eric Volkman has no position in the stocks mentioned. The Motley Fool owns and endorses Goldman Sachs and Jefferies Financial Group Inc. The Motley Fool has a Disclosure Policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.