Shopify Stock Is Shredding Sellers, Sprinting Higher: Why Jim Cramer Says The E-Commerce Company Is A 'Lean Amazon'

Shopify Inc (NYSE: SHOP) shares are in the spotlight Thursday after leaning out its business and Jim Cramer believes the e-commerce company is beating Amazon.com Inc (NASDAQ: AMZN) to the punch. 

What To Know: Shopify reported better-than-expected financial results, announced plans to sell its logistics business, and informed employees of a 20% workforce reduction Thursday morning. 

First-quarter revenue increased 25% year-over-year to $1.51 billion, and adjusted earnings came in at 1 cent per share. Both numbers topped analyst expectations. Gross merchandise volume increased 15% year-over-year and gross payments volume grew 51%. 

Shopify also announced that it entered into a definitive agreement to sell the majority of its logistics business to Flexport, a move that Cramer believes is key as the company looks to gain share in the e-commerce space.

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Why It Matters: One of the biggest problems Shopify faced in the past was keeping up with logistics, Cramer said Thursday morning on CNBC's "Squawk On The Street."

"This makes it so they can cut 20% of their workforce, and they now become the de facto Amazon for small [businesses]," he said. 

Cramer applauded the move and called it "incredibly bullish," noting that the company no longer has to worry about shipping. 

"It's a remarkable company, but the one thing they couldn't do on the scale of Amazon is get it to you," Cramer said. 

Now Shopify can focus on the front of the store without having to mess around with the back of the store, which can get really expensive, he said.  Despite Thursday's outsized move, the stock can go even higher, he added.

Shopify has now positioned itself as a "lean Amazon," Cramer said.

He told viewers that he believes Amazon needs to take a page out of Shopify's book and cut more of its headcount. Amazon has cut a total of approximately 27,000 employees in recent months, but that number amounts to less than 10% of its corporate workforce.

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Shopify president Harley Finkelstein will be featured on "Mad Money" with Cramer Thursday evening. 

SHOP Price Action: Shopify shares rose 23.8% to $57.30 on Thursday, according to Benzinga Pro.

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