Did you get $5,000? These 3 Growth Stocks Are Close to 52-Week Lows

Buying growth stocks during a falling market can be a way to earn big profits in the future. The current economy is not ideal for all businesses, but it is likely to recover in the long term. And in that recovery, growth stocks will perform better overall.

Here are three stocks that investors have been feeling weak about lately: apologize (AAPL 5.98%), Starbucks (sub -2.43%)and prologue (PLD 1.30%). They’re all trading near their 52-week lows, and if you have $5,000 to invest, here’s why you should consider investing in these stocks right now.

apologize

Apple shares have been on the rise recently, at around $175, but are still not far off their 52-week low of $164.08 and down 9% year-to-date. It’s trading at 26 times trailing earnings, which isn’t a steep multiple for one of the world’s most valuable stocks.

Investors are concerned about iPhone demand. In China, Apple’s main market, sales fell early this year as consumers cut back on spending or bought cheaper options, including from Chinese rival Huawei.

But with over 2 billion active devices, Apple already has a huge customer base. Some consumers may be more hesitant to upgrade their phones now because of the weak economy, but that doesn’t mean sales will lag forever. Consumers may postpone cell phone upgrades to save cash.

You might also be waiting for a phone with the latest and greatest artificial intelligence (AI) features. There are rumors that the generative AI feature will be coming to the iPhone 16 later this year.

It is premature to worry about Apple’s business. With its extensive ecosystem and dedicated user base, the company is likely to continue to grow for many years, especially as it offers more services and becomes a bigger player in the AI ​​space. For long-term investors, now may be the best time to buy stocks.

Starbucks

Another company with a large number of devoted customers is Starbucks. Despite the availability of cheaper coffee options, chains continue to churn out large quantities of coffee.

Starbucks recently announced its second quarter results for the period ending March 31, with consolidated net income of $8.6 billion down 2%. This isn’t too bad considering the current macroeconomic situation, which is not ideal for business. Many consumers are cutting back on spending. Net income fell 15% to $772.4 million. But over the long term, as economic conditions improve, Starbucks’ numbers will likely recover.

But the disappointing results led to a sharp decline in the stock on Wednesday, hitting a new 52-week low. Although Starbucks may seem to have problems in the short term, it is still the best restaurant chain to invest in for the long term. Last year, the company announced plans to increase its store count from about 38,000 to 55,000 by the end of 2010.

Investors can also benefit from the stock’s higher-than-average dividend yield of 2.6%. S&P 500 Average 1.4%.

prologue

Prologis is a real estate investment trust (REIT) that offers investors a great way to invest in e-commerce. As a leader in logistics, we invest in warehouses and help companies grow their operations. Our customers include many well-known companies such as: Amazon, Pepsicoand walmart.

The stock appears to be down 22% this year due to the uncertainty of the current economic situation. It is currently less than $10 away from its 52-week low of $96.64. Prologis stock is currently trading at an enterprise value with an earnings before interest, taxes, depreciation, and amortization (EBITDA) ratio of less than 19, well below its five-year average of more than 24.

Prologis could be a good option for investors in the long term, given the continued need for warehousing and logistics as the world of e-commerce continues to grow. For 2023, the company reported core funds from operations (FFO) per share of $5.61, 9% higher than the $5.16 it reported a year ago. This year, the REIT expects core FFO growth to be above 9% again.

Its balance sheet is strong enough to support dividends totaling $3.84 per share for one year. At 3.7%, investors could receive a dividend well above the S&P 500 average, giving them more incentive to buy Prologis stock.