High inflation has been a serious problem for the better part of the past two years, and its effects have rippled through every level of the economy. Consumers are spending money more cautiously, businesses are scrutinizing budgets more closely, and many investors are selling stocks hand over fist to hedge against a possible recession. Those events have sent the benchmark S&P 500 spiraling into a bear market.

Meanwhile, Block (NYSE: SQ) has seen its share price plunge 75%, marking its sharpest decline as a public company. Yet the underlying business is still healthy. Block is gaining momentum in the Square and Cash App ecosystems, and it remains well positioned to capitalize on a large and growing addressable market. That means the stock could soar on the heels of an economic recovery.

Here's why investors should treat the downturn as a buying opportunity.

Continue reading

Source Fool.com