Over the next 5 to 10 years, these two battered equities should produce market-beating gains

HUNG HOM, Hong Kong - Oct. 13, 2022 - PRLog -- These words interrupted the recent growing trend in the diverse stock landscape of the United States. The main reason for this dramatic trend reversal is that Wall Street expected the Fed to abandon its aggressive interest rate raise agenda in 2023.

The Federal Reserve's fight to keep inflation under control has sent every major U.S. stock index into the red for the year. Since the beginning of 2022, the S&P 500 (^GSPC) has lost 14% of its value, the Dow Jones Industrial Average (^DJI) has lost 9.97% of its value, the NASDAQ Composite (^IXIC) has lost 22%, and the Russell 1000 Index has lost roughly 15%. While the validity of the present bear market is worrying, investors should keep in mind that down periods in U.S. stock markets are often brief. Simply put, astute investors should not be scared to profit from this huge sell-off.

Continuing on this theme, Apple Inc. (AAPL), as well as Tandem Diabetes Care Inc. (TNDM), are the two battered equities that should come roaring back to life as the current bear market fades from view.

AAPL, the technology behemoth, has lost roughly 8% of its worth this year. Investors are dumping the company's stock in 2022 due to concerns that inflation would decrease consumer spending. While several industries and firms have been impacted by inflation in recent weeks, AAPL has been an exception to the general pattern. AAPL reported a respectable 2% increase in revenue year over year in its most recent quarter, fuelled by rising sales of its iconic iPhone and its increasingly popular services segment.

TNDM, a specialist in insulin pump technology, had its stock plummet in 2022. The stock of the medical equipment firm, in particular, has dropped by an astounding 68% this year. The good news, if you can call it that, is that TNDM's significant drop has been driven primarily by profit-taking, but the company's recent negative revision of its 2022 sales outlook didn't help matters.

Why is profit-taking the primary cause of TNDM's abrupt trend reversal? The backdrop is that TNDM's shares increased by a whopping 6,280% from January 1, 2018 to January 1, 2022. As a result, its stock was selling at a significant premium at the start of 2022.

Lakefield International considers best-in-class reporting, risk transparency, and investment accounting technology to be equally as important as performance, you may visit us at our website https://lakefieldinternational.com/ or contact us via email.