Baron Capital's Baron Fifth Avenue Growth Fund stated in its Q2 2026 investor letter that Shopify Inc. (NASDAQ:SHOP) detracted from performance in the quarter, with its stock down 3.7%. The fund attributed the decline to multiple compression (P/E down 8.5%), rather than any deterioration in Shopify's underlying business or fundamental outlook. Shopify continued to post healthy growth, with gross merchandise volume and revenue up 30% and 32% year-on-year, respectively. The fund views concerns about Shopify's long-term positioning in an AI-driven e-commerce future as misplaced, believing Shopify is an AI winner due to its proprietary data and recent product releases.