Things look ugly right now, but these companies could quickly rally once the bear goes back to sleep.
The Nasdaq Composite index has fallen into a bear market, declining 31% year to date, taking the share prices and valuations of growth stocks to levels not seen in a while. The highest inflation in the U.S. in four decades combined with sharp hikes in the federal funds rate by the Federal Reserve has caused this swoon. There's no better time to buy strong, well-run companies than a bear market, but the caveat is that you must be prepared to hold them over the long term.
Venture capitalist Marc Andreessen famously said that "software is eating the world," but this year it seems more like software is eating itself. If you're looking to "buy on weakness," two software stocks that are primed to deliver long-term growth are Okta (NASDAQ: OKTA) and Salesforce (NYSE: CRM).