It’s a long term winner, but near term headwinds have knocked shares down nearly 40% in a month.
Don’t let near term coronavirus fears chase you out of long term winning stocks with powerful tailwinds like this one.
It’s already up more than 25% year-to-date and the rally is far from over.
Sluggish trends weighed on it in 2019. Now, in 2020, rebounding growth trends could spark a rally.
Shares have sprung back to life in a big way over the past few months as investors are growing more optimistic on the company’s turnaround plans. But it still has some hurdles to clear and the stock looks unnecessarily risky at current levels.
Up nearly 17-fold from its debut on Wall Street, it’s showing no signs of slowing down anytime soon.
It’s outperformed the S&P 500 in a big way for three straight years and the streak won’t stop in 2020.
Bogged down by depressed demand, tough competition, and poor economics it’s been a loser for a long time, and it will likely remain so for the foreseeable future.
It’s positioned for a strong 2020, so buying shares on near-term weakness seems like a solid game-plan.
It’s dirt cheap relative to its long-term potential, but it’s a high-risk, high-reward play.