1 Growth Stock Down 40% This Year to Buy Right Now

One path to success in investing is to purchase shares of solid, well-run businesses and hold them over the long term. Growth stocks offer the prospect of long-term capital appreciation that can help you achieve your big-picture financial goals. Characteristics investors should look for in a company include sustainable tailwinds for the business, a stellar management team with strategic vision and focus, and a track record of steadily growing profits and free cash flow.

Even stocks with such attributes, however, are not immune to periodic bouts of market pessimism. With investors closely monitoring every quarterly result and comparing it with analysts' expectations, there are times when even the shares of strong companies get sold down sharply. Investors should view such events as opportunities to scoop up shares on the cheap -- if the company's fundamentals are still solid.

(NASDAQ: LULU) is one such stock. Its share price has tumbled by 40% year to date. Let's examine the reasons for this decline, and why the stock is looking increasingly attractive.

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Source Fool.com