Fintech, or financial technology, is a sector that's been getting clobbered lately. Between rising interest rates, geopolitical tensions in Europe, and the pandemic still raging in many regions, instability is one of the only trends that's consistent. And when there's volatility, investors tend to move their money away from growth stocks and into established, secure stocks.
This is leading to plummeting prices for many stocks in the fintech sector. Companies that have seen their stock prices multiply many times over the past few years are experiencing setbacks, and while it can create confusion and fear for investors, it also generates opportunity for long-term thinkers. Some stocks whose valuations may have seemed ludicrous last year are now in affordable territory. Hot fintech company Block (NYSE: SQ), formerly Square, and newer fintech Bill.com Holdings (NYSE: BILL) have both lost more than 30% of their value since the beginning of the year. Does that mean it's a great time to buy on the dip? And if so, which one is the better buy?
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Source Fool.com