Can Shopify Stock Bounce Back After Last Week's 16% Drop?
It was a rough week for one of this year's hottest stocks. Shares of Shopify (NYSE: SHOP) took a 15.9% hit last week, sinking after a scathing online report poked holes in Shopify's business. Some bullish analysts rushed in to defend Shopify's model and back up their rosy price targets, but the bears got the better of the bulls last week.
Citron Research has a knack for skewering companies with thorough bearish critiques. It doesn't always get it right in the end, but it's been right enough times to command selling pressure when a publicly traded company comes into its crosshairs. Citron has an immediate target price of $60 on the stock -- less than half of last Tuesday's peak -- and that's before its prediction that the Federal Trade Commission cracks down on its questionable affiliate marketing practices.
Source: Fool.com