If a Bear Market Is Coming, This Growth Stock Might Be a Great Buy on the Dip
This under-the-radar semiconductor company is now at the center of the AI revolution.
Overview
The S&P 500 (SNPINDEX: ^GSPC) is hovering near a record high, but the ongoing geopolitical tensions in the Middle East, the rising odds of an interest rate hike, and the upcoming midterm congressional elections in November could disrupt what has been an incredible (nearly) four-year bull market.
The S&P 500 is currently trading at a Shiller Cyclically Adjusted Price-to-Earnings (CAPE) ratio of 41.8, its second-highest valuation in history, behind only the dot-com bubble peak in 2000. Even if the index were to plunge into a technical bear market by suffering a 20% decline from its recent peak, it would still be expensive by historical standards.
Details
But the broader market has always trended higher over the long term, so sell-offs can be a great opportunity for investors to scoop up bargains. One stock that could be a great buy at a discount is Corning (NYSE: GLW), which has become a key player in the global artificial intelligence (AI) data center build-out. Here's why.
Source
Originally published at www.fool.com.