Near Its 52-Week Low, Is This Exciting Growth Stock a Buy Before 2022 Ends?
Many investors are hesitant to buy growth stocks in this market. After all, the Nasdaq is down more than 25% this year, and a recession is on the horizon. It's natural for people to want to buy while the market is rising and get out when it falls. But multiple studies show that market timing is a money-losing strategy.
First, timing the market is akin to gambling in my neck of the woods -- Las Vegas. Did you know that the market's best days tend to occur within just a few weeks of the market's worst days? It's true! The market also tends to bottom well before the economy does, so an upcoming recession doesn't necessarily mean stocks will get cheaper (although they could, so dollar-cost averaging is highly recommended).
Long-term investors are better served by looking for companies with compelling products, massive growth, and proven cash flow -- and then building a position while the stock is down and holding long-term. The Trade Desk (NASDAQ: TTD) fits this model to a T.
Source Fool.com
