Lightspeed Commerce (TSX:LSPD)(NYSE:LSPD) is a Montreal-based company that provides commerce enabling Software as a Service (SaaS) platform for small and midsize businesses in Canada and around the world. Shares of this top tech stock have plunged 26% month-over-month as of close on November 16. The stock is still up 58% in the year-over-year period.
The company found itself the target of a short attack in September. Spruce Point Capital alleged that Lightspeed grossly inflated its business before its initial public offering (IPO). Moreover, it said there was evidence of slowing organic growth, overly aggressive revenue reporting, guidance that is sandbagged, among other troubling issues. Lightspeed went on to state that Spruce Point’s report contained inaccuracies and mischaracterizations.
In any case, the short-seller attack has caused Lightspeed stock to fall sharply from its record highs.
In Q3 2021, the company posted revenue growth of 193% to $133 million. Meanwhile, subscription revenue increased 132% to $59.4 million. Lightspeed benefited from 123% growth in Gross Transaction Volume (GTV). Moreover, it was bolstered by customer locations which were maintained at roughly 156,000. This also represented a record high.
This e-commerce firm is still on track for strong revenue growth in the quarters ahead. Shares of this tech stock possess an RSI of 31. That puts Lightspeed just outside of technically oversold territory. Lightspeed is battling skeptics, but I’m still looking to snatch up this e-commerce tech stock on the dip.
