Diamonds and Dogs
Shopify (SHOP) keeps climbing. The Ottawa-based e-commerce software provider is up 12% today and up 400% in the last year following better than expected earnings. Shopify beat by 23 cents as revenue rose 46.9%to $505.16 million. The company also raised full year sales guidance. Shopify sets up e-commerce websites for small businesses, and partners with others to handle digital payments and shipping. Shopify is building a U.S. distribution network to store and ship products for its merchant customers. It plans to spend $1 billion over five years and, in the process, take on mighty Amazon.com. Good luck. I'm sure Amazon is watching.
Lyft (LYFT) not getting a lift. The ride-sharing company is down 9% back to a one-month low following disappointing earnings and no sign of profitability until the end of next year. Lyft is Uber's biggest competition, but Uber expects to be profitable by the end of this year, a year earlier than Lyft. Lyft's ridership grew by more than 6% in the first half of 2019, but then slowed to 2.5% in the second half of last year. Lyft only operates in the U.S. and Canada with around 23 million users in the fourth quarter.