Does stock market volatility have you ready to toss in the towel? My advice is use it to your advantage with IPO stocks Pinterest (NYSE:PINS), Beyond Meat (NASDAQ:BYND) and Luckin Coffee (NASDAQ:LK), where growth has quickly met up with value on the price chart. Let me explain.
Bottom line, in today’s wild trading environment these three recent IPO stocks are providing investors the opportunity to buy into big-time growth potential at advantageous prices.
IPO Stock to Buy No. 1: Pinterest (PINS)
PINS stock is the first of our recent IPO stocks to buy. The super popular web-based visual discovery platform blasted past earnings views and collectively caught investors’ eyes as shares exploded higher by nearly 19% in early August.
Technically, just over two weeks after reporting and with lots of market turbulence in between, PINS stock has pulled back approximately by 10% from a classic cup-with-handle pattern breakout attempt. This came after scoring fresh all-time highs.
It’s easy to blame overall market action for the first failure in this IPO stock. Ultimately, it hasn’t been a great environment for buying breakouts. But with PINS stock still holding its own technically, there’s reason to believe a second attempt will pay investors handsomely.
PINS Stock Trade
The recommendation for PINS stock is to put shares on the radar for buying on a breakout above $35.30. That’s only likely to occur if the major averages can rally for more than a day and begin to show more convincing signs of bottoming.
A second approach for this IPO stock is to buy shares on weakness. I’d recommend looking for a daily chart pivot low to form. Then buy PINS stock on confirmation of a bottom. In order to keep this purchase technically constructive, I’d also make sure the PINS stock price consolidation continues to hold near $31 a share.