Wall Street likes marketplace platform stocks for many reasons. Unlike vertically integrated e-commerce giants like Walmart, which have to maintain large distribution networks, inventory, and logistics arms, these businesses carry lower risks and require far less capital to run.

Companies like (NASDAQ: ETSY) and Shopify (NYSE: SHOP) can also be highly profitable once they reach a given scale. Marketplace fees can rise over time, for example, as their portfolios of seller services grow.

But which of these two stocks looks like the better buy right now? Let's dive right in.

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Source Fool.com