Investors turned bearish as the economy weakened in the first half of the year, setting the stock market on a downward trajectory. By the end of June, the broad-based S&P 500 had fallen 21% from its high, and the tech-heavy Nasdaq Composite was down 31%. But that didn't stop certain wealthy hedge fund managers from buying growth stocks.

Jim Simons of Renaissance Technologies added to his stake in Upstart Holdings (NASDAQ: UPST) in the second quarter, and Philippe Laffont of Coatue Management started a position. Meanwhile, Ken Griffin of Citadel Advisors and Israel Englander of Millennium Management bought more shares of Elastic (NYSE: ESTC).

Upstart and Elastic currently sit 94% and 55% off their highs, respectively. Is it time to buy these beaten-down growth stocks?

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Source Fool.com