With the explosive growth of the "Magnificent Seven" stocks, the S&P 500 has put in a sustained rally throughout 2023. Its total return level is 25% this year, more than double its long-run average of a 10% compound annual growth rate (CAGR). But a lot of smaller stocks -- especially unprofitable technology companies -- failed to join the party.

Enter Bill Holdings (NYSE: BILL). The financial technology platform for small and medium-sized businesses (SMBs) is down 25% this year despite posting 33% year-over-year revenue growth last quarter, perhaps presenting a buying opportunity for investors focused on the long term. Let's see if Bill Holdings is a beaten-down stock poised for a rebound in 2024.

Bill Holdings, owner of Bill.com, provides accounting and payment solutions to SMBs. These include services like accounts payable reconciliations, digital invoicing, and expense management. Historically, accounting and payments have been a headache for smaller companies, wasting tons of time and money for employees and owners. With the advent of modern payments and the cloud, Bill.com was able to bring software solutions usually reserved for large enterprises to the masses.

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Source Fool.com