5 stocks that are difficult to buy at discounted prices

that much S&P 500 It almost hit an all-time high last week, but not every stock in the index is a winner these days.

In fact, some stocks are still down sharply from their 2021 highs, especially those that soared during the worst days of the coronavirus pandemic. If you’re looking to snatch up some of the stocks still on sale, keep reading to learn about five stocks with high growth potential that are trading at discounted prices.

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year (year -0.69%) It offers a leading streaming distribution platform, which puts it in a good position. Streaming services such as netflix, Disney, warner bros discoveryMax and other services all rely on Roku’s services in more than 70 million households, and Roku gets a cut of those subscription and advertising revenues.

But the stock is still struggling to recover from strategic missteps following the pandemic and digital advertising slowdown. Roku has been ramping up spending as the pandemic-fueled streaming boom nears its end. As a result, the stock price fell 81% from its peak.

Nevertheless, stock prices are showing signs of recovery. The company reported positive adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) in its most recent quarter, and revenue growth is accelerating as the digital advertising market recovers. Roku has a lot of upside potential, especially as top streaming services beef up their advertising tiers. Roku stock could go significantly higher in a few years.

2. Redfin

As with most real estate stocks, redfin (RDFN -3.78%) Stock prices have plummeted since the pandemic as the housing market has slowed.

As a result, Redfin closed its home-based business, Redfin Now, made several layoffs, and saw negative sales growth.

In the third quarter, Redfin reported a 12% decline in revenue to $269 million, but there is hope. The company’s cost savings improved gross profit by 8% and reduced generally accepted accounting principles (GAAP) net loss from $90.2 million to $19 million.

Redfin stock is currently down 90% from its peak, but things could soon turn around for the online real estate brokerage. Lower mortgage rates could revive the real estate market. If that happens, Redfin stock could skyrocket.

3. Newborn

rush (UPST -3.85%) Another fallen angel due to the pandemic. Shares of the AI-powered consumer lending specialist are now down more than 90% from their COVID-19 era peak.

Upstart has seen strong gains in 2021 as growth surges and the company’s profitability remains strong. However, as interest rates rose and the economy slowed, Upstart’s demand for loans decreased and its profits turned into losses.

Third-quarter revenue fell 14% to $135 million, but the company is cutting losses and reported adjusted EBITDA of $2.3 million for the quarter.

Upstart’s loans continue to perform well despite the business downturn, and the company will benefit from expected declines in interest rates this year. Upstart’s mission is to replace FICO scores as a measure of creditworthiness, and if successful, it opens up a huge market for the future. If the economy gets stronger, stocks could easily bounce back.

4. Disney

Disney (DIS 1.01%) It may be the number one name in family entertainment, but its stock has been struggling for years. Disney stock hit a nine-year low just a few months ago. The company has struggled with the transition to streaming. That business is losing money, and its linear media cash cow is drying up.

But there are signs that Disney is changing direction. It has reduced losses in its direct-to-consumer segment, and the company expects to be profitable in its streaming segment by the end of its fiscal year in September. Additionally, Disney’s parks and resorts division continues to generate huge profits, and studio launches are likely to be brisk.

CEO Bob Iger recently said the company had resolved its business issues and was ready to get back to business. Disney still has enormous brand value and an unrivaled library of intellectual property. If the business model can be corrected, the stock price could rise even higher.

5. Snap

Snapchat Top snap (snap -3.86%) Another pandemic mired in economic reopenings as revenue growth stagnates and investors lose patience with overspending on losses and stock-based compensation.

But now Snap stock is soaring as it emerges as a winner of the generative AI boom.

The number of subscribers to Snapchat+, a premium service that includes AI functions such as image creation, is rapidly increasing, recently reaching 7 million. Snap has invested heavily in AI image-based technologies such as augmented reality, which will enable it to emerge as a leading AI social network for young people.

Snap’s financial health has been poor, but that may change as the economy recovers and the digital advertising market improves.

If the good AI news for Snap continues, the stock could have a lot of room to move.