Shopify Inc. (NYSE: SHOP) experienced a 5.01% plummet in its stock price during Monday's trading session, with concerns over its lofty valuation seemingly overshadowing the company's strong growth prospects.

The e-commerce platform provider's shares fell sharply despite the lack of any specific negative news or developments related to the company. However, analysts and investors have long grappled with Shopify's high valuation, which remains a contentious issue among market participants.

According to the news articles, Shopify's growth trajectory and expanding total addressable market have been key drivers behind the stock's impressive performance in recent years. The company's ability to diversify its offerings, including payment processing, marketing, and financing solutions, has fueled optimism about its long-term potential.

Nevertheless, concerns persist regarding Shopify's rich valuation metrics, with the stock trading at a forward price-to-earnings ratio of around 76.8x, significantly higher than its closest peer, Wix.com. While Shopify's revenue growth and market share gains justify a premium valuation, some analysts argue that the current levels may be unsustainable, especially in a bearish market environment.