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Amazon.com Inc. (AMZN)
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Shopify Inc. Class A Subordinate Voting Shares (SHOP)
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Wayfair Inc. Class A (W)
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Lightspeed Commerce Inc. Subordinate Voting Shares (LSPD)
W had a large selloff in 2022 and has since been hovering between levels of $30 and $80. Its recent earnings results have been positive, and future growth is expected to be OK, although a bit more moderate than in previous years. It is currently unprofitable, but it generates a small amount of free cash flow, which has been used to increase its cash balance to now $1.3B. Its valuation is OK, with a forward price-to-sales multiple of 0.6X. Sales growth has been declining in the past few years, and we feel if its sales growth can stabilize, we could see its share price slowly move higher, although we see better opportunities currently in the e-commerce space, such as SHOP, AMZN, and LSPD (to an extent).
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in AMZN.