Here’s My #1 Canadian Growth Stock Pick to Buy for March

Here’s why Shopify (TSX:SHOP) remains my top Canadian growth stock pick for March 2023, despite the current unfavourable environment.

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For investors seeking high long-term returns, growth stocks can be an excellent choice. These are generally shares of companies that have the potential to generate significant capital appreciation over a period of time. 

However, to get the desired result, investors must choose stocks with strong fundamentals. This is essential for companies to show stock price appreciation, which is the main goal behind this type of investment. 

Accordingly, when it comes to this stock category, my number one pick in the Canadian stock market is Shopify (TSX:SHOP).

Here’s why. 

Shopify helps its merchants tap into the global market

Shopify’s overall business model provides impressive growth potential for those thinking long term. The company’s technology enables small- and medium sized businesses to tap the global market. Indeed, in the world of e-commerce, Shopify is a leader in its niche.

That said, this is a company that’s not just sitting on its heels. Shopify has continued to make product enhancements to further its market share and positioning in key markets. One such innovation I’ve been keeping an eye on is the company’s launch of its POS Go hardware in Singapore, Italy, Belgium, Denmark, Italy and Spain.

Thus, its payment service is now present in 14 countries around the world, enabling its traders to tap into the international market. 

To facilitate seamless product deliveries, this e-commerce company has introduced Shopify Shipping to merchants in these key markets. Additionally, it has also launched Shopify Markets Pro in the United States, providing early access to certain customers. If this pans out as expected, SMB merchants will soon have the ability to sell their products in more than 150 markets worldwide. That’s a compelling value proposition for any merchant.

Introduction of additional marketing channels 

Another top product innovation worth looking at is Shopify Audiences. This marketing tool was launched to expose the merchants on Shopify’s platform to a wider audience. Essentially, using machine-learning, this tool will assist merchants in better targeting consumers who want their specific offerings.

The growth of artificial intelligence and machine learning technology is a key growth factor many investors are considering. In this regard, Shopify appears to be doing what it can to push innovation forward with its platform.

Bottom line

Various recent business developments introduced by Shopify have solidified its way to exponentiate its profits in the near future, and the success of its policies can be seen in its last quarter reports. Without a doubt, SHOP stock is my number one choice when it comes to investing in Canadian growth stocks. 

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Chris MacDonald has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Shopify. The Motley Fool has a disclosure policy.

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