ContextLogic (WISH) and Amazon (NASDAQ:AMZN) are two companies that operate in the e-commerce space. The shift towards online shopping is set to accelerate in the upcoming decade, providing the two entities an opportunity to benefit from a rapidly expanding addressable market. But which stock should you buy today?.After a stellar performance in 2020, several e-commerce stocks have cooled off this year. The reopening of economies has decelerated revenue growth rates in 2021, lowering the valuations of e-commerce stocks in the process.
However, long-term investors should view the pullback as a serious buying opportunity, given the shift towards online shopping has gained pace amid the pandemic, making shares such as ContextLogic (WISH) and Amazon (AMZN) interesting potential investments.
While Amazon is one of the largest companies in the world, ContextLogic is a mid-cap stock that has grossly underperformed the equity markets in recent months. Between the two companies, let’s see which should be part of your e-commerce portfolio today.