This Leading E-Commerce Stock Is Down 78% But Could Generate Fortunes Down the Road

Stocks rallied after the initial COVID-19 sell-off in March 2020 as government stimulus fueled consumer spending and induced robust economic growth worldwide. But since the start of 2022, the stock market has turned into a circus show. Between 40-year-high inflation, the Federal Reserve's decision to hike interest rates in return, and adverse impacts linked to Russia's invasion of Ukraine, investor sentiment is being pummeled from multiple directions.

Year-to-date, the S&P 500 and Nasdaq Composite have contracted 22% and 33%, respectively, and now there are legitimate fears that a recession is on the horizon. Technology stocks have been particularly fragile, and that includes e-commerce companies, which continue to combat unfriendly macro conditions combined with a reopening economy.

As long-term investors, however, it's vital that we don't lose sight of the endgame. Global digital commerce is projected to expand at a compound annual growth rate (CAGR) of 15.1% to $17.5 trillion by 2030, up from $4.2 trillion today. So while investors must distinguish between the secular winners and losers, it has never been so clear that e-business is the future.

Source Fool.com