Shopify’s valuation is not too high, Kim Bolton says

Black Swan Dexteritas president and portfolio manager Kim Bolton says Shopify (Shopify Stock Quote, Chart, News, Analysts, Financials TSX:SHOP) remains a strong Canadian technology name because of its scale, balance sheet and AI opportunity.

Speaking on BNN Bloomberg’s Market Call on Sept. 3, Bolton said Shopify is well positioned to help small and medium-sized businesses use agentic AI tools they could not build on their own.

The fund manager believes Shopify can invest in AI and recover that investment across its large customer base.

Black Swan Dexteritas has been adding to its Shopify position this year.

Bolton said the company has strong liquidity, little debt risk and return on equity of about 15.5%.

The investor acknowledged Shopify trades at a high valuation, with a price-to-earnings multiple of about 104 times, but said that reflects the company’s growth profile.

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