You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources , and more. Learn More With the Nasdaq Composite down as much as 38% from its peak, these highly innovative companies are ripe for the picking.

For most investors, 2022 hasn’t gone as planned. Following a year where the biggest drawdown in the S&P 500 totaled just 5%, the benchmark index has responded in 2022 by plunging into a bear market and delivering its worst first-half return in 52 years.

But that’s nothing compared to the growth stock-dependent Nasdaq Composite ( ^IXIC ), which has fallen by as much as 38% on a peak-to-trough basis since hitting an all-time last November. The index most responsible for pushing the broader market to new heights is now its biggest drag. Image source: Getty Images. While bear markets are known for toying with investors’ emotions and forcing rash decision-making, they’re also often short lived and an excellent time to put money to work . Eventually, every bear market decline has been fully recouped by a bull market rally.

This bear market looks like a particularly smart time for opportunistic investors to scoop up beaten-down growth stocks. What follows are five magnificent growth stocks you’re going to regret not buying on the Nasdaq bear market dip. Baidu

The first remarkable growth stock you’ll be kicking yourself for not adding on the Nasdaq bear market decline is China-based internet content giant Baidu ( BIDU 2.02%). Although short-term fears concerning the shake-up of President Xi Jinping’s cabinet in China are bound to cause a lot of volatility in China stocks, Baidu’s foundation is solid, and its ancillary operating segments are growing rapidly.

This “foundation” I speak of comprises the company’s internet search engine . As of June 2022, Baidu accounted for more than 75% of all page views in China, according to data provided by Statista. With a virtually insurmountable market share lead in internet search in the second-largest global economy, it makes total sense that advertisers would pay a premium to get their message in front of consumers.

While internet search acts as the cash cow, the company’s cloud-computing and artificial intelligence (AI) operations provide supercharged growth potential over the long run. During a second quarter that saw China’s economy challenged by the country’s zero-COVID strategy, Baidu managed to generate 31% year-over-year growth in AI Cloud revenue. It also maintained its leading role as an autonomous ride-hailing service provider via Apollo Go.

Patient growth seekers can scoop up shares of Baidu right now for less than 9 times Wall Street’s forecast earnings for 2023. That’s one heck of a bargain for a company with a long track record of growing by a double-digit percentage. Fiverr International

A second fantastic growth stock that’s begging to be bought as the Nasdaq plummets is online-services marketplace Fiverr International ( FVRR 3.26%). Despite fears of rising unemployment weighing on near-term sentiment, Fiverr appears well positioned to take advantage of long-winded economic expansions.

Like other online-service platforms, Fiverr offers freelancers a means to sell their services to businesses. However, one key difference for Fiverr’s marketplace is how those services are presented. Whereas freelancers on key competitors charge an hourly rate, Fiverr tasks are presented as a package deal. This creates unparalleled pricing transparency, which businesses seem to appreciate. Even as the U.S. economy has weakened during the first half of 2022, spending per buyer on Fiverr’s platform has increased.

What’s even more important for Fiverr is the company’s superior take-rate — i.e., the percentage of revenue it gets to keep of deals completed on its marketplace. While some of its peers are collecting a take rate in the low-to-mid teens, Fiverr’s take rate expanded to 29.8% in the June-ended quarter. Getting to keep a larger percentage of an increasing number of deals completed on its marketplace is a recipe for profit growth.

With a sustained double-digit growth rate and a forward price-to-earnings ratio of just 26, Fiverr looks like an amazing deal. Image source: Getty Images. Exelixis

Biotech stock Exelixis ( EXEL -1.52%) is a third magnificent growth stock you’ll regret not purchasing on the Nasdaq bear market dip. Even though poor investing sentiment has weighed on drug stocks throughout 2022, Exelixis has the competitive edges necessary to deliver for its shareholders.

For years, Cabometyx is what’s made Exelixis tick. Cabometyx is approved by the U.S. Food and Drug Administration to treat […]

source Nasdaq Bear Market: 5 Magnificent Growth Stocks You’ll Regret Not Buying on the Dip

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