Canadian tech wunderkind Shopify (Shopify Stock Quote, Charts, News, Analysts, Financials TSX:SHOP) has started off the new year much the same as it ended 2021, with further share price declines. And while the pullback has been substantial \u2014 SHOP is down over thirty per cent since mid-November \u2014 investors might want to think twice before seizing the opportunity. So says portfolio manager John O\u2019Connell who has a number of reasons why you should love the company but fear the stock. \u201cI like Shopify. Obviously, it's a fantastic Canadian growth story and I like the growth profile of the industry,\u201d said O\u2019Connell, CEO of Davis Rea, who spoke on BNN Bloomberg on Friday. \u201cWe don't own Shopify \u2014 we\u2019ve always focused on owning Amazon instead. A couple of observations: every day there's an insider trading report on management where insiders are selling stock every day to the tune of around $10 to $15 million worth of stock a day. That's okay, it doesn't mean that's a bad investment and some of these people have made incredible sums of money. there\u2019s been huge management changeover and turnover, which is also once again, not unusual when you've had a huge amount of growth in a company in a very short period of time,\u201d he said. \u00a0\u201cThe thing that\u2019s always made us nervous between Shopify and Amazon is that while Shopify is a very sturdy alternative to being locked into the Amazon ecosystem, so to speak, there\u2019s nothing that stops Amazon from getting in and becoming a more fierce competitor to Shopify, and we are seeing signs of Amazon talking and moving towards that kind of process,\u201d O\u2019Connell said. Shopify finished 2021 with a respectable 21.2 per cent return, which was on par with the S&P\/TSX Composite Index at 21.7 per cent for the year but certainly an anomaly compared to the outsized gains by SHOP in previous years.\u00a0 And while the current pullback seems to have little to do with any news from Shopify itself and more of about the broader market turning away from growth stocks with the threat of rising interest rates to be realized this year, Shopify\u2019s pullback has caused a bit of a stir since it\u2019s knocked the stock off the podium as Canada\u2019s most valuable company by market capitalization.\u00a0 At currently $181 billion in market cap, SHOP is now well below returning champ Royal Bank currently at $202 billion and also a hair below TD Bank at $182 billion. As a company, Shopify appears to be firing on all cylinders. The company posted revenue\u00a0 growth of 46 per cent in its most recent quarter, the company\u2019s third quarter 2021, delivered in late October. Adjusted earnings were down, however, compared to the previous year\u2019s Q3 which, admittedly, makes for a tough comparison as it came in the heat of the pandemic where merchants were flocking to Shopify\u2019s platform in droves, aiming to up their online presence in the face of storefront lockdowns.\u00a0 This past year brought a staggered return of bricks and mortar which muted somewhat SHOP management\u2019s growth guidance, at least in reference to the outsized growth of 2020, but the company has all along maintained a strong belief in the lure of its growing group of product offerings for businesses large and small. Along with furthering its fulfillment network over the past year, Shopify put a number of new items on display with the launch of services such as Shopify Markets for cross-border commerce, Shopify Balance money management and its point-of-sale offering POS Pro software. All that while its platform keeps growing in volume, processing $41.8 billion worth of business over its Q3 2021, up 35 per cent year-over-year. \u201cThe strength of Shopify\u2019s flywheel was on display within the more normalized spending environment we saw this past quarter, as more merchants used more of our platform to start and grow their businesses,\u201d said Amy Shapero, Shopify\u2019s CFO, in the company\u2019s third quarter 2021 press release. \u201cOur results show that Shopify is executing well, giving our merchants the tools they need to compete in differentiated ways in a growing number of markets. We remain focused on simplifying commerce for our merchants so they can take full advantage of what digital makes possible and reimagine retail,\u201d Shapero said. But for O\u2019Connell, it\u2019s Shopify\u2019s multiples that should be the ultimate red flag for would-be investors. \u201cIt's a very highly valued company trading at very, very rapid paces, but it trades at incredible valuations. So, you really have to ask yourself at what point if that growth profile does slow, you could see a great deal of disruption in the stock price,\u201d O\u2019Connell said. \u201cWhen you own these kinds of companies that are high growth, high valuation, incredibly innovative, just always make sure that you're being very, very mindful of the amount of money that you actually allocate to this kind of security in your portfolio,\u201d he said.