While the broader U.S. markets have recouped most of their 2022 losses, and the Nasdaq Composite ($NASX) is now up almost 33% for the year, some sectors have remained weak in 2023. In fact, some stocks are languishing near multi-year lows, even as markets hover not far from their all-time highs.
PayPal (PYPL), for instance, is trading at its lowest levels since 2017, while Walt Disney (DIS) is revisiting levels it last traded at back in 2014. Both of these stocks are in the red for 2023, and are among the notable underperformers in the S&P 500 Index ($SPX) - and while they face some real headwinds, I believe that both these stocks now have limited downside, and can deliver strong returns over the medium to long term for patient investors.
