Shopify Stock Tumbles After Forecasting Slower Revenue Growth

Shares of Shopify Inc. tumbled 16% Wednesday, after the e-commerce software provider told investors that the forces that made it one of the biggest winners of the Covid-19 pandemic are starting to slow.

Lockdowns pushed millions of small businesses to open online stores, as retail sales rapidly shifted away from physical stores. U.S. retail e-commerce sales grew 32% in 2020 from the prior year, according to the U.S. Commerce Department.