5 Best Buy-the-Dip Growth Stocks to Buy Now

1. Coinbase Global, Inc. (NASDAQ:COIN)

Number of Hedge Fund Holders: 46

YTD Share Price Decline as of May 27: 70.67%

Coinbase Global, Inc. (NASDAQ:COIN) is an American company that provides financial infrastructure and technology for the crypto industry. The stock price has fallen over 70% year-to-date as of May 27. However, with crypto being the preferred medium of transactions in the metaverse and retail interest in the crypoverse, Coinbase Global, Inc. (NASDAQ:COIN) remains positioned as one of the best buy-the-dip growth plays. 

Cowen analyst Stephen Glagola on May 26 initiated coverage of Coinbase Global, Inc. (NASDAQ:COIN) with an Outperform rating and an $85 price target. The company is a dominant player in the US and the analyst expects it to be primarily an exchange/retail brokerage-driven story over the next several years. He believes in the company’s double-digit percentage compound annual growth potential for “the foreseeable future” and argues that Coinbase Global, Inc. (NASDAQ:COIN) has a structural advantage over global competitors in security infrastructure and regulatory adherence.

According to Insider Monkey’s Q1 data, 46 hedge funds were bullish on Coinbase Global, Inc. (NASDAQ:COIN), compared to 57 funds in the preceding quarter. Jim Simons’ Renaissance Technologies reported a prominent stake in the company, with 1.05 million shares worth $199.7 million.

Here is what Longleaf Partners Fund has to say about Coinbase Global, Inc. (NASDAQ:COIN) in its Q4 2021 investor letter:

“We also have seen plenty of IPO/SPAC craziness showing both that private players need public markets more than they admit and that there is more volatility embedded in these newer companies than a private quarterly mark might admit. As for how efficient both the private and public markets are, we would encourage you to really delve into some of those multi-hundred-page S1s for many of the newest public companies to see the huge gap between the last valuation at which the company was funded and/or granted shares to its executives and the often much higher price at which the company went public – Coinbase is a prime example.”

You can also take a look at 10 Biotech Penny Stocks with Growth Catalysts and 10 Safe Stocks To Invest in For The Long-Term in 2022. 

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