Shopify’s Stock Split Fails to Rekindle Investor Romance
- Slide resumed after April 11 announcement of 10-for-1 split
- Intensifying competition, rising rates add to pressure
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Shopify Inc. set out to win the affection of retail investors with a 10-for-1 stock split. The gambit appears to be too little, too late.
A pop on the day of the April 11 announcement has given way to a relentless selloff. Shopify is down 23% since then to about C$605, far underperforming Canada’s benchmark index, the Nasdaq 100 Index and many other software stocks. So much for signaling to the market that the e-commerce company was becoming more shareholder friendly.