5 Stocks Canadian Investors Love

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1. Shopify Inc. (NYSE:SHOP)

Number of Hedge Fund Holders: 72   

Shopify Inc. (NYSE:SHOP) provides a commerce platform and related services. On June 7, the shareholders of the firm approved a new voting rights plan for Tobi Lutke, the CEO and founder of the firm, that will give him enhanced power at the company. Under the new plan, Lutke will enjoy at least 40% of voting rights under particular conditions, like staying at the company. The holdings of the founder were also classified as a “founder share” that he is not allowed to pass on to anyone else.

On July 7, Evercore ISI analyst Mark Mahaney maintained an Outperform rating on Shopify Inc. (NYSE:SHOP) stock but lowered the price target to $560 from $660, noting that foreign exchange headwinds were weighing on large cap internet stocks. 

At the end of the first quarter of 2022, 72 hedge funds in the database of Insider Monkey held stakes worth $5.7 billion in Shopify Inc. (NYSE:SHOP), compared to 86 in the preceding quarter worth $12 billion. 

In its Q1 2022 investor letter, Polen Capital, an asset management firm, highlighted a few stocks and Shopify Inc. (NYSE:SHOP) was one of them. Here is what the fund said:

“We added to the Portfolio’s position in e-commerce company Shopify Inc. (NYSE:SHOP) in the first quarter after a sharp share-price decline. This brought the Portfolio’s weighting in the company to 2%. We believe Shopify provides a uniquely positioned platform, and we like the company’s strategy of continuing to invest in its business in an effort to strengthen its competitive advantages. The market’s affinity for businesses like Shopify Inc. (NYSE:SHOP) may have changed, which created an opportunity for us to build our position in the company at what we believed to be compelling valuations.”

You can also take a peek at 10 Penny Stocks Redditors are Buying in August and 10 Best Nickel Stocks to Buy Now.

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