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Why You Should Watch These 3 Strong Stocks That Are Down Over 20% From 52-Week Highs

By Jose Najarro – Sep 10, 2021 at 6:30AM

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The three stocks are in the gaming, software-as-a-service, and semiconductor industries.

Today's video focuses on Micron Technology (MU 4.59%)Activision Blizzard (ATVI -0.53%), and Twilio (TWLO 7.15%). As of closing prices on Sept. 8, these three companies have seen an over 20% drop in stock prices from 52-week high prices. All are in solid markets that continue to see growth. Could the current prices be a buying opportunity for investors? Here are some highlights from the video. 

  1. Micron Technology creates memory chips that are used in nearly all of the electronics that we use today. As data centers, gaming, smart vehicles, VR headsets, and new technology continue to expand, Micron Technology will have more bullish cases. The main reason for the drop is the fear of memory prices decreasing, as numerous analysts have expressed concerns. 
  2. Activision, a gaming company with solid franchise games like Call of Duty, Candy Crush, and World of Warcraft, dominates in grossing mobile games. Recent regulatory enforcement of video game rules in China has investors a bit worried about future growth. Still, investors should be reminded of the current development of mobile gaming in Latin America. 
  3. Twilio reported over 67% year-over-year growth in revenue in its most recent earnings. Software stocks have taken a hit in recent weeks due to market volatility and concerns about valuations. In the video, I share some value metrics and look at the current levels of these metrics. 

Click the video below for my full thoughts and analysis. 

*Stock prices used were the midday prices of Sept. 8, 2021. The video was published on Sept. 8, 2021.


Jose Najarro owns shares of Twilio. The Motley Fool owns shares of and recommends Activision Blizzard and Twilio. The Motley Fool has a disclosure policy. Jose is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

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Stocks Mentioned

Micron Technology Stock Quote
Micron Technology
$57.65 (4.59%) $2.53
Activision Blizzard Stock Quote
Activision Blizzard
$73.95 (-0.53%) $0.39
Twilio Stock Quote
$49.02 (7.15%) $3.27

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

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