Shopify (SHOP.US) free cash flow surges 61%, yet plunges as much as 20% in premarket trading! Following Intel's sharp decline, tech stock earnings face harsh expectations once again.

Zhitong Finance APP has learned that after Canada-based e-commerce giant Shopify Inc. (SHOP.US) released its latest earnings report, its stock price in U.S. premarket trading once plunged about 20% from the previous close of $156.22. After reporting earnings last week, U.S. CPU and chip manufacturing giant Intel (INTC.US), whose stock suffered its worst decline in forty years, and Shopify share one thing in common: quarterly profits beat expectations, yet both stocks were sold off. The key difference is that Intel closed down about 28.6% after its forward profit guidance fell short of expectations, while Shopify's holiday-season guidance was broadly in line with market expectations.