Shopify (NYSE:SHOP) shares plummeted more than 15% yesterday after the company reported its Q4 results, which came in better than expected, but the outlook disappointed investors. Quarterly EPS came in at $0.07, compared to the Street estimate of ($0.01). Revenue was $1.73 billion, beating the Street estimate of $1.65 billion.
For Q1/23, the company expects revenue to grow in the high-teen percentages year-over-year, worse than the Street estimate of a 23% growth.
With investors and analysts looking for a more meaningful inflection in 2023 operating income, management commentary likely fell short of expectations and there were limited takeaways for the bulls on this point away from the strong Q4 performance.