Redbubble (ASX:RBL) share price crashes 20% on increased investments

Shares in Redbubble Ltd (ASX: RBL) have continued to spiral downwards throughout the session after the ecommerce company released its third-quarter and year-to-date update. At the time of writing, the Redbubble share price has collapsed 20.51% to $4.38.

Looking at the company’s growth alone doesn’t quite explain the dramatic fall. So, let’s take a look at what exactly could be pushing the Redbubble share price down.

Aspirations don’t fill investors with confidence

Redbubble delivered growth in its gross transaction value, marketplace revenue, and gross profit. That all looks well and good until investors have to stomach compressed margins.

At the end of the day, long-term investing means profits. And ideally, those profits…