Where Will Shopify Be in 1 Year?

The rapid ascent of Shopify's (NYSE: SHOP) stock price has been remarkable. After a monster climb through 2019, the stock is close to doubling again year to date. Investors are more bullish on the company's prospects after it reported another quarter of 47% revenue growth as more businesses are turning to Shopify to open digital storefronts during the COVID-19 pandemic.

The first-quarter performance wasn't all rosy, though. Some merchants downgraded from the premium Shopify Plus subscription plan to lower-priced plans in March and April, but some have since re-upgraded. Additionally, while food and beverage merchants saw increases in gross merchandise volume (GMV), merchants that sell apparel and accessories experienced lower demand in mid-March, but apparel merchants started to recover in late March and into April.

Shopify is not providing guidance given the chaotic environment, but there are plenty of signs that it's solidifying its competitive position and should emerge from this crisis even stronger than before.

Source Fool.com