Shopify Inc (NYSE: SHOP) is in the green this morning after the eCommerce giant said it saw record sales on Black Friday this year.
Cramer shares his outlook on Shopify Inc
According to the company that’s based out of Ottawa, Canada – merchants on its platform generated $3.36 billion worth of sales this Black Friday that translates to a 17% year-on-year increase.
Reacting to the report, Jim Cramer recalled this morning that shares of this online shopping platform is still down about 70% for the year, which makes up for a great opportunity to invest in a quality name at a deep discount.
Shopify does a lot of the smaller retailers which I keep hearing are doing a ton of business. They learned that scene during the lockdown.
His bullish view is in line with Wall Street that also currently recommends buying Shopify stock.
Shopify stock is approaching its 200-day MA
Last week, retail sales at large were reported up a better-than-expected 1.30% for October, reiterating that the U.S. consumer is still spending despite fears of a recession.
Cramer drives optimism for Shopify Inc also from its market-beating results for the third financial quarter in late October. On CNBC’s “Squawk on the Street”, he added:
I like Shopify here. I want to play it on the fact that the independent retailers, I think, are having a very good holiday season.
Shopify stock is currently trading a little below its 200-day MA at $42. A break above that key resistance will unlock significant room to the upside.
The post Jim Cramer explains why he likes the Shopify stock appeared first on Invezz.