Growth stocks are supposed to…grow. It’s right there in the name. The problem is that growth can come in fits and starts. And sometimes, it comes with downturns in share prices…
Those downturns can provide opportunities for investors who have a long-term perspective. Of course, the stocks that have fallen on hard times must still have strong prospects. The good news is that in many cases, previous high-flying stocks that tumble lower still do have the potential to bounce back. Here are three such beaten-down growth stocks to buy right now.
Pinterest (NYSE:PINS) reported its second-quarter results last week. The social media stock promptly plunged close to 20%. It’s now down 34% from the peak set earlier this year.
Investors were disappointed that Pinterest’s monthly average users (MAUs) in the U.S. fell 5% year over year. Its global MAUs rose, but only by 9%. That’s well below what analysts expected.
There was plenty of good news, though. Pinterest’s second-quarter revenue more than doubled year over year. Average revenue per user (ARPU) soared 89%. The company also posted a solid profit.
Most importantly, Pinterest’s underlying long-term prospects remain strong. The company is coming off an unusual year, to say the least, with the COVID-19 pandemic fueling ginormous growth. One disappointing quarter for user growth isn’t a good reason to give up on Pinterest.
Pinterest’s platform is still highly popular. The company continues to make solid progress toward increasing the monetization of the platform. Now appears to be a great opportunity to buy the stock at a significant discount.
Teladoc Health (NYSE:TDOC) is down nearly 50% below its highs from earlier in 2021. As is the case with Pinterest, some investors are worried about Teladoc’s slowing growth rate.
However, the virtual care provider’s recent Q2 results were better than you might think. Teladoc’s big net loss was mainly related to acquisition-related expenses. Key metrics including revenue per member per month and utilization continue to improve.
There are several potential growth drivers for Teladoc in the near future. The company’s major agreement with…
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