Shopify (NYSE: SHOP) stock plunged about 20% in intraday trading after the company provided lower-than-expected guidance for the current quarter.
E-commerce giant Shopify (SHOP) issued guidance below forecasts, signaling a slowdown in sales growth and continued effects from the sale of its logistics business last year.
The renowned retail platform expects revenue growth in the high teens percentage year-over-year for the current quarter. This projection falls below the consensus estimates compiled by Visible Alpha and marks a continuation of the recent slowdown in quarterly sales growth.
This outlook follows Shopify’s first-quarter earnings report, which revealed a net loss of $273 million, primarily attributed to the effects of the logistics business sale.
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