So many conflicting signals, so little time to figure it all out. More on this and what else to know in markets on Monday, January 30, 2023.
Shopify (NYSE: SHOP) has seen its share price tumble 70% since peaking in late 2021, dragged down by a combination of slowing growth and weak guidance, both of which can be traced back to the challenging economy. For context, the stock has never fallen more sharply at any point since Shopify became a public company in 2015. Shopify saw revenue growth slow to 25% over the past year, a shocking deceleration from 71% revenue growth in the previous year.
In Andy Jassy’s first letter to shareholders as chief executive of ecommerce giant Amazon he pointed out how far the Echo smart speaker and Alexa personal assistant had come. Digital voice assistants from the likes of Apple, Amazon, Google, Microsoft and Samsung were expected to replace smartphone scrolling and tapping. In the latest round of job cuts, the largest in Amazon’s history, teams working on Alexa and Echo are reported to be hit particularly hard.