2024 has been a tale of two quarters for Shopify (NYSE: SHOP). The e-commerce company's stock tanked in May after it reported first-quarter results. Analysts were expecting 19.5% growth in the second quarter, and management's "high-teens percentage rate" guidance left investors disappointed.

But this week, shares surged after the Q2 results showed 21% revenue growth, topping management's prior outlook and analysts' estimates too.

If this all seems a little silly to you, you're not alone. However, in the near term, the market is largely about expectations, and the market reaction to Shopify's earnings the past two quarters shows just how much a role expectations play around earnings time.

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Source Fool.com