2 Beaten-Down Stocks That Could Bounce Back
One good way to earn superior returns over the long run is to invest in companies that are at the forefront of technological (or other) changes. That description fits Block (NYSE: XYZ) and Fiverr (NYSE: FVRR) well -- the former is a leader in fintech, while the latter is helping power the fast-growing gig economy. Neither stock has performed well this year, and in Fiverr's case, it has significantly lagged broader equities since its 2019 IPO. However, both could still deliver excellent performances over the long run.
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Block's shares have declined this year due to disappointing financial results. The company has rebounded somewhat over the past month, but its shares are still down 20% year to date. Even so, there are several reasons to remain bullish on the stock. Let's consider three. First, Block is an innovator. It gained popularity due to its sleek point-of-sale systems, which were especially well suited for small and medium-sized businesses. That allowed Block to create a seller ecosystem and offer its business clients a range of other services. Block is still at it.
Source Fool.com
