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Shopify reported better than expected quarterly profit and revenue. The e-commerce platform operator nonetheless is seeing its stock drop 9.5% in pre-market as it forecasts a slower growth for 2022, than the 57% growth it achieved in 2021. We are seeing a similar pattern for dynamic high-growth names, in which a slight growth deceleration can pressure stocks to the downside, at least in the short term. Valuation for Shopify stock has compressed significantly, and at USD800 the stock is down approximately 52% since its peak in November 2021.

Bitcoin is facing some technical resistance at around USD45'000. The fast rebound in bitcoin is seeing profit-taking as traders seek to lock-in gains or reduce exposure amid the volatility. The key technical level could act as resistance, until the market digest the recent gains. The dip in crypto is reported to have drawn significant interest from institutions with companies including MicroStrategy and KPMG Canada buying recently. 

Investor expectations are high in this market and Meta is the latest victim. Its 26% single-day stock wipeout on Thursday triggered a growth scare in the whole market, sending investors hitting the sell button across tech names, pulling down the Nasdaq 100 by 4%. The USD251.3 billion single-day wipeout is the largest ever. We must ask ourselves, were some large investors willing to get $FB off their books at any price. As the dust settles, investors are debating whether the stock deserves a second look due to its solid financials, low valuation, buybacks, versus the threat of an increasingly difficult advertising business as a result of changes in the Apple IOS and changing consumer preferences to less profitable areas such as short videos. From a technical analysis perspective, the stock seats at a key long-term support level. The stock of the most-disliked brand is up 1.6% in US pre-market at USD241.6. 

Amazon reported Q4 revenue of USD137.4 billion, up 9% yea-on-year, in line with analyst expectations. The company’s cloud computing business soared almost 40%, topping estimates. Operating income climbed significantly, boosted by a USD11.8 billion gain on its Rivian investment, which recently went public. Revenue from its fast growing advertising business, is up 32% yoy to USD9.7 billion during the quarter, making it the third largest advertiser in the US, behind Google and Meta. Even though Amazon's sales and guidance were weaker than expected, Amazon's earnings report gave investors confidence that growth will pick up. The stock is up 12% this morning in pre-market, recovering its losses and more from yesterday's steep sell-off of 4% in the Nasdaq. Besides hiccups in Meta and Netflix, big tech earnings remain solid.

Meta reported fourth-quarter revenue growth of 20% yoy. The net income numbers came out at USD10.29 billion, or USD3.67 a share, lower than the USD3.85 expected. The group also made an operating loss of USD3.3 billion on its Reality Labs unit. User numbers also disappointed slightly. In terms of guidance, growth translates to just 3%-11% per year, below the 15% expected by the street. Weak guidance caused investors to sell the stock aggressively in after-hours. Meta revealed it is facing setbacks as a result of Apple's privacy changes in its IOS. Investors may need some time to digest the slower growth and greater challenges that are coming into focus. The social media giant remains an outlier as other big tech companies such as Alphabet, Apple, and Microsoft topped estimates on profit and revenue. However, all social media stocks came down severely in after-hours and the negative earnings report is weighing on investor sentiment, particularly in technology. Amazon, will announce earnings today after-hours, shedding light on whether e-commerce growth is slowing down. On the cloud business, we have some clues from Microsoft earnings last week, which were solid.