The tech-heavy Nasdaq Composite Index is down about 20% from its all-time high, and many other stocks have fallen even farther, some dipping more than 40% or 50% from their highs. With this, many investors are seeing all beaten-down stocks as buying opportunities. However, just because a stock has fallen sharply from its all-time high does not mean that it is trading at a bargain. There are still plenty of cash-burning companies that have taken a tumble over the past year, yet still trade at high multiples.

Not all companies are screaming bargains right now, but there are a select few high-quality companies that have caught my eye. Both Coinbase (COIN -0.76%) and FIGS (FIGS 0.83%) are expanding rapidly while maintaining their competitive edge, and each company's valuation has fallen to a bargain price. Because of this, I think it would be smart to invest in these businesses right now.

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1. Coinbase

Coinbase is one of the leading crypto trading platforms, with more than 89 million users and $278 billion in assets on the platform. Because of this leadership, the company was able to capitalize on the explosion of trading in cryptocurrency. Revenue soared 545% year over year in 2021 to $7.4 billion, and the company's net income grew even more -- over 1,025% to $3.6 billion over the same period. However, shares are near an all-time low and trade for just nine times earnings.

Why is Coinbase trading at a rock-bottom price despite this immense success? While it is hard to know for certain, the likely culprit could be that analysts are expecting this growth to stagnate. Analysts project $6.8 billion in 2022 revenue -- a year-over-year decline of 13%.

Investors are also worried about the company's reliance on transaction fees, which could decline or even go to zero in the coming years. Competition among crypto trading platforms is fierce. If one company eliminated its trading fees, that could become a major selling point -- just as it was in the stock trading business. This could, in theory, force all crypto trading platforms to slash their fees. Coinbase makes the vast majority of its revenue off transaction fees, so this could severely damage its financial position.

That said, Coinbase is rapidly expanding its product offering, which could lessen its reliance on crypto transaction fees. The company is testing Coinbase One -- a subscription service that allows members to trade cryptocurrency commission-free. This could become the future of Coinbase, where instead of relying on transaction fees, the company makes its money from subscriptions. It is worth noting that its non-transaction-fee revenue is still very small, making up just 7% of total revenue in 2021.

On the other hand, if Coinbase can increase its non-transaction-fee revenue, it could become a resilient company to own for the long term. Considering its rock-bottom valuation, not many investors are expecting Coinbase to succeed with this, so there is immense potential to see strong returns if it can prove investors wrong.

2. FIGS

FIGS -- a high-quality scrubs manufacturer -- is also trading at a major discount today. Shares are down nearly 68% from their all-time highs, bringing its valuation down to just 6.7 times sales. This stock now trades below other apparel brands like Lululemon -- which has a valuation of more than seven times sales.

Just like Coinbase, FIGS' financial performance has not been worthy of this steep drop. In 2021, the company's top line grew 60% year over year to $420 million. FIGS prides itself on its high-quality hospital scrubs, which are made to be more comfortable, functional, and of better quality. As a result, FIGS has gained an amazing brand reputation, with a Net Promoter Score of 80 at the end of 2021. Customer satisfaction scores range from -100 to 100, with a score of 70 considered "world-class."

This competitive advantage has allowed FIGS to charge a pretty penny for its products, which is why it had over a 71% gross margin in 2021. Not even Lululemon can replicate this: It had gross margins of just 58% in 2021. FIGS has used these strong margins to generate $63.7 million in free cash flow in 2021, representing a 15% free cash flow margin.

The company also has a huge opportunity ahead. Its international business is still quite small -- making up just $30 million in 2021 revenue -- but this could grow rapidly. The company believes the healthcare apparel market outside of the U.S. is worth $67 billion, meaning there is a lot of room to expand overseas.

At the cheap valuation the company trades at today, I see the potential for amazing shareholder gains over the long term if it can maintain its reputation and build similar brand strength internationally. Because of this, I would be happy to load up on shares of FIGS today.