Justin B

Management and the board buying up stock when market is overreacting is definitely one of the best ways to send positive sentiment to the market. Same goes for when management sells. Unless it's clearly planned and communicated as to why management are selling, it almost always sends bad vibes to the market and results in some downward pressure on prices. And rightfully so, there's been some bad actors over the years, so it always pays to pay attention and ask questions.

Luke Adams

Well it's certainly had a pretty decent kick off the bottom, assuming that was the bottom. Be interesting to see how the next month plays out. Hard to see this all of a sudden turning into a bull market, so I'm expecting quite a bit of volatility for the forseable future.

Steve Willis

I should also add that the company's VP of Merchant Services, Kaz Nejatian, and Harley Finkelstein the company's president have also indicated they are buying shopify stock

Having fallen from a high of over $1,700 USD per share to $353 at the time of writing this, I suppose it was bound to happen that management and directors would show their hand and start buying stock.The CEO of Shopify, Tobi Lütke sent an email around to staff yesterday (12th May) announcing that he had liquidated other assets to buy Shopify stock. It's one of the most common ways insiders can send a positive sentiment to the markets that they believe the share price to be undervalued and will back it up with their own cash.However its important to remember that Shopify's growth has slowed significantly in the last 2 quarters, down from 41% growth to 22% growth, and down from 110% growth in the same period 1 year ago. That's a pretty steep slide in growth.Shopify currently trades at a price / revenue multiple of 8 which even at a 22% QoQ growth is low. The CEO buying stock is a good sign, but given how choppy the market is currently, it's hard to see the stock market stop the bleeding and go on a bull run all of a sudden...but stranger things have happened!!

Insiders are buying Shopify stock - is it time to buy?