Stocks & Investing
Sat, November 29, 2025
Fri, November 28, 2025
Thu, November 27, 2025
Shopify: The E-Commerce Super-Seller
//stocks-investing.news-articles.net/content/2025/11/28/shopify-the-e-commerce-super-seller.html
Published in Stocks and Investing on Friday, November 28th 2025 at 14:43 GMT by The Motley Fool- 🞛 This publication is a summary or evaluation of another publication
- 🞛 This publication contains editorial commentary or bias from the source
The Motley Fool’s “No‑Brainer Growth Stocks to Buy Right Now” – A 2025 Snapshot
The Motley Fool’s latest investing feature, released on November 28 2025, offers a concise yet incisive look at two high‑growth equity opportunities that the author describes as “no‑brainers.” Though the article is short‑form, it packs a wealth of data, analyst insights, and forward‑looking commentary that can help an investor decide whether to add one (or both) of these names to a portfolio. Below, we break down the key take‑aways, highlight the supporting research links, and provide the broader context that will let you understand why these stocks have garnered the Fool’s particular endorsement.
1. Shopify Inc. (SHOP) – The E‑Commerce Super‑Seller
Why Shopify?
Shopify has long been the platform of choice for merchants of all sizes, and the company’s business model has continued to scale efficiently. The Motley Fool emphasizes three core factors that make Shopify a “no‑brainer” in 2025:
| Metric | 2024 | 2025 (Projected) | Context |
|---|---|---|---|
| Revenue | $8.69 B | $9.58 B (+10%) | Growth driven by a continued shift to online retail and a steady increase in the number of merchants. |
| Gross Merchandise Volume (GMV) | $1.45 T | $1.58 T (+9%) | GMV growth outpaces revenue, underscoring the platform’s ability to take a larger slice of the retail pie. |
| Gross Profit Margin | 74% | 75% | Margin improvement is attributed to economies of scale and an expanded suite of high‑margin services (e.g., payments and logistics). |
| Adjusted EBITDA | $1.07 B | $1.23 B | EBITDA margin improvement reflects disciplined operating costs. |
| Market Cap | $185 B | $205 B | Roughly a 10‑12% upside to the 2024 price, suggesting room for further upside. |
Supporting Links
The article links to Shopify’s Q4 2024 earnings release (https://shopify.com/press), the company’s 10‑K filing on the SEC’s EDGAR database, and a Motley Fool research note that delves into the merchant‑growth trajectory (https://www.fool.com/research/shopify/). The research note also references a recent interview with Shopify’s CEO, Tobias Lütke, in which he discusses plans to double the company’s logistics arm—an initiative that could unlock even more revenue.
Growth Drivers
- Merchant Expansion: The platform has added over 300,000 new merchants in 2024, a 15% increase YoY.
- Higher‑Margin Services: Shopify’s Payments and Shipping segments have consistently outperformed core e‑commerce, capturing roughly 12% of total revenue.
- International Expansion: Shopify has been successful in penetrating the Asian market, with India and Southeast Asia now generating 15% of GMV.
Risk Factors
- Competition: Amazon’s “Amazon Shops” and other marketplace integrations pose a threat to Shopify’s merchant acquisition.
- Macroeconomic Sensitivity: A global slowdown could reduce discretionary spending, impacting merchant revenue growth.
Bottom Line
The Fool’s authors argue that Shopify’s strong fundamentals, coupled with its ability to capture a growing share of the global e‑commerce market, make it a “no‑brainer” purchase for growth‑oriented investors willing to tolerate some valuation premium.
2. Cloudflare, Inc. (NET) – The Cloud‑Security Trailblazer
Why Cloudflare?
Cloudflare’s edge‑cloud platform has positioned it at the intersection of web infrastructure, security, and performance. In 2025, the author highlights a “double‑whammy” of expanding demand for secure connectivity and the company’s moat‑building product portfolio.
| Metric | 2024 | 2025 (Projected) | Context |
|---|---|---|---|
| Revenue | $2.10 B | $2.44 B (+16%) | Driven by subscription sales and a 20% YoY rise in traffic for its network. |
| EBITDA | $480 M | $590 M | Margin improvement to 24% from 23% due to higher product mix. |
| Net New ARR | $250 M | $320 M | Strong pipeline from new enterprise customers. |
| Market Cap | $28 B | $34 B | Roughly 22% upside implied by the projected growth. |
Supporting Links
The article includes a link to Cloudflare’s Q4 2024 earnings (https://www.cloudflare.com/press), a link to its S‑1 filing that outlines future plans for the “Workers” server‑less platform (https://www.sec.gov/ixviewer/ix.html?doc=/Archives/edgar/data/1334528/000119312524023123/d10k.htm), and a research note titled “Cloudflare: The Only Edge Platform You’ll Ever Need” (https://www.fool.com/research/cloudflare/). The research note also cites a Gartner report ranking Cloudflare as the #1 cloud security provider for 2025.
Growth Drivers
- Zero‑Trust Security Momentum: With ransomware and supply‑chain attacks on the rise, enterprises are turning to Cloudflare’s Zero‑Trust solution, expanding the company’s addressable market.
- Edge Computing Expansion: The “Workers” platform is moving into new verticals such as AI‑in‑edge, offering high‑margin services.
- Network Scale: Cloudflare’s global network now spans 200+ data centers and covers 1.2 B endpoints, making it difficult for competitors to replicate.
Risk Factors
- Regulatory Scrutiny: As a major CDN and security provider, Cloudflare could face increased regulatory pressure on data privacy and net neutrality.
- Competitive Pressure: Established cloud providers (AWS, Azure) are investing heavily in their own edge‑cloud offerings.
Bottom Line
The Fool’s authors present Cloudflare as a “no‑brainer” because of its dominant network, expanding product mix, and the explosive demand for zero‑trust security solutions—an area that is expected to double in size over the next decade.
3. Comparative Lens & The Bigger Picture
The article doesn’t just list two stocks; it frames them within the broader growth‑sector landscape:
- Sector Correlation – Shopify’s performance is tied to consumer discretionary, while Cloudflare is linked to enterprise IT spend. This diversification can help balance a portfolio across cyclical and defensive growth themes.
- Valuation Context – The authors note that Shopify trades at a P/E of ~35x forward earnings, whereas Cloudflare trades at ~40x. They argue that given the respective growth rates (10% vs 16% YoY revenue growth) the valuations are justifiable, especially when compared to other growth names such as Tesla (P/E ~60x) or Adobe (P/E ~30x).
- Macro‑Risk Triage – Both companies operate in tech sectors that are sensitive to interest‑rate cycles. However, the author highlights that the “growth premium” often persists even during rate hikes, provided the fundamentals remain strong—something both Shopify and Cloudflare have demonstrated over the last two years.
4. Take‑Home Recommendations
- Add Shopify if you’re bullish on the long‑term trajectory of e‑commerce, especially given the platform’s expanding services ecosystem and a steady influx of new merchants worldwide.
- Add Cloudflare if you believe that the shift toward cloud‑first, zero‑trust security models will accelerate, and you are comfortable with a slightly higher valuation premium given the company’s robust network effect.
- Consider Both for a portfolio that captures growth in both consumer and enterprise technology. The authors suggest that buying both could provide a 12‑15% portfolio‑wide upside over the next 18‑24 months, assuming the projected growth rates materialize.
5. Final Thoughts
In a market where many growth stories have become overhyped, the Motley Fool’s “no‑brainer” designation signals that the authors see these two stocks as being well‑justified by data, growth prospects, and competitive moat strength. The article, while concise, references a breadth of primary sources—earnings releases, SEC filings, and independent research reports—that give readers the opportunity to verify and dig deeper into each recommendation.
If you’re planning a growth‑focused strategy for 2026 and beyond, adding Shopify and Cloudflare—each with strong revenue drivers, improving profitability, and robust market positioning—could be a prudent way to capture upside while mitigating some of the risks that plague other high‑growth names. As always, consider your own risk tolerance, investment horizon, and the broader macro environment before making any moves.
Read the Full The Motley Fool Article at:
[ https://www.fool.com/investing/2025/11/28/2-no-brainer-growth-stocks-to-buy-right-now/ ]
