Investors drove the stock of Shopify (NYSE: SHOP) up 54% from the beginning of the year to Feb. 15, when the company released its earnings results for the fourth quarter of 2022. Clearly, investors expected a lot from the report.

The company beat analysts' revenue and earnings-per-share (EPS) estimates for the fourth quarter. But investors were disappointed in the first-quarter forecast, which anticipates slowing revenue growth. The stock sank about 16% the day after the earnings release.

So, should you buy the dip on Shopify's stock as did Cathie Wood's Ark Invest, which bought it heavily after the dive, or should you give this richly valued stock a pass?

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Source Fool.com