Nasdaq Sell-Off: 3 Stocks Down 15% to 55% That You’ll Regret Not Buying on the Dip

Volatility has returned to the stock market. In particular, the tech-heavy Nasdaq Composite has suffered a rough start to the year. As of this writing, the index has dropped about 3.8% year to date and about 7.5% off its all-time high. That means the index is approaching a technical correction — a drawdown of 10% from recent highs. So, given the state of play, are there any bargains to be found in the Nasdaq? Today, three Motley Fool contributors will make the case for their favorite bargain bin buys on the Nasdaq: Advanced Micro Devices (AMD 1.48%), Broadcom (AVGO 8.64%), and Amazon (AMZN -0.72%).

Don’t miss the massive discount on this high-flying AI stock

Will Healy (Advanced Micro Devices): AMD has struggled over the last year. A prolonged slump in its gaming and embedded segments and a company forecast that it would experience a sequential decline in revenue have led to a 55% pullback in the semiconductor stock’s price since it peaked one year ago. However, that drop in the stock appears overdone for many reasons. Regarding its data center segment, that part of the business often suffers from the effects of seasonal sales patterns, and a quarter-over-quarter decline in Q1 of last year seems to confirm this trend. Additionally, DeepSeek’s breakthrough has also allowed entities to run artificial intelligence (AI) models at much lower costs. Hence, even if AMD cannot catch up to market leader Nvidia, its lower-end AI accelerators could benefit from increased demand. Indeed, AMD’s overall growth rate has increased in recent quarters, not fallen back. Revenue in the fourth quarter of 2024 grew 24% to $7.7 billion. As recently as Q2, yearly revenue growth was just 9%. This is likely because the slump in its embedded segment may finally be ending. Yearly revenue growth fell by 41% yearly in Q2. Fast forward to Q4, and the decline was now just 13% annually.