Amit Nitin Doshi’s Harbor Spring Capital Portfolio: Top 5 Stock Picks

3. Shopify Inc. (NYSE:SHOP)

Harbor Spring Capital’s Stake Value: $44,741,000

Percentage of Harbor Spring Capital’s 13F Portfolio: 3.15%

Number of Hedge Fund Holders: 85

Shopify Inc. (NYSE:SHOP) is a Canadian multinational e-commerce giant that allows businesses to operate on its platform, and offers end-to-end services including processing payments, marketing, delivery and shipment, and customer engagement tools. Shopify Inc. (NYSE:SHOP) operates in over 170 countries, and reported more than 1.7 million registered businesses as of May 2021.

Harbor Spring Capital holds 33,000 shares in Shopify Inc. (NYSE:SHOP), as of September this year, valued at $44.7 million. This stock accounts for 3.15% of the firm’s Q3 portfolio. 

Shopify Inc. (NYSE:SHOP) posted its Q3 results on October 28. EPS in the period totaled $0.81, missing estimates by -$0.41. As of the second quarter of 2021, 85 hedge funds in the database of Insider Monkey were long Shopify Inc. (NYSE:SHOP), down from 91 in the preceding quarter. 

Loop Capital analyst Anthony Chukumba downgraded Shopify Inc. (NYSE:SHOP) from Buy to Hold with a $1600 price target that remained unchanged, citing that the stock is trading at 34.1 times his estimated revenue for 2022.

ClearBridge Investments mentioned Shopify Inc. (NYSE:SHOP) in its Q2 2021 investor letter. Here is what they said: 

“Shopify (is one of the) companies that have become go-to platforms for small and medium size businesses (SMBs) engaged in e-commerce and social media marketing, rebounded strongly in the quarter after being caught in the selloff among high-multiple growth names since Vaccine Monday. These and the portfolio’s other disruptors had thrived through the first part of the pandemic, leading us to trim positions into strength and reallocate cash into more attractively priced evolving opportunities and steady compounders that had been overly punished by lockdowns and a drop in economic activity.”