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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: Interesting news from Shopify re: opening fulfillment centers in the U.S. ($1 Billion over 5 years). I see this as more directly competing with AMZN, whom I thought they were friendly with.

I own SHOP but I'm honestly not too sure how dependant they are on AMZN for their business. Here on 5i it's been mentioned that they have a serious relationship, but I've never seen it quantified...are you able to share how much of SHOPs business is from AMZN (based on revenue, EPS or other) and what specifically their partnership is?

With this news and within a year or two I'm guessing SHOP will either be dropped by AMZN or bought out.
Read Answer Asked by Cameron on June 20, 2019
Q: I got into this a short time ago (over a couple of years ago) around this level it bounced around a bit and ran up over $100. I considered selling or trimming but it didn't get to the % I had in mind. I held due to the increasing dividend and stock buy backs. With the benefit of hindsight it has got me wondering if this is a stock that is more of a trading stock or is it something that is suitable to hold for long period of time. My portfolio target is to achieve 7%+ rate of return over my life.
Read Answer Asked by Jerome on June 18, 2019
Q: May 30 announced good Q.Jun 11 declared $300m BB through Dutch Auction & Tender @ $44- $52.Jun 14 $46.05 close.Some expectation of lower interest rate &/or possible recession. Will it go over the $46,the high range of BB.? Is this an entry point for new position Thanks for u usual great services & Views Happy Father's Day to all
Read Answer Asked by Peter on June 17, 2019
Q: I like TOY but am concerned about the following:
1) How vulnerable is TOY's business to low price "knock-offs" being marketed as TOY brands through on-line channels like Amazon, Alibaba, etc.?
2) Do retailers like Amazon & Walmart have the technology to restrict this type of thing, or would they unknowingly be expediting it (and benefitting from it)?
3) How effective is legal action initiated by a company like TOY in defending its intellectual property?
4) Is this vulnerability a "deal breaker" in deciding NOT to buy TOY?
Thank you for your thoughts.
Edward
Read Answer Asked by Edward on June 14, 2019