ZI - 1 Top Growth Stock Down 80% to Buy in 2024 and Hold Forever
2024-01-26 06:15:00 ET
Helping businesses find, acquire, and grow customers, ZoomInfo Technologies (NASDAQ: ZI) and its business-to-business data platform has been on an absolute roller-coaster ride in its first few years as a public company. After making it through what might've been one of the worst possible times to go public in June 2020, ZoomInfo's stock rocketed to new all-time highs by 2021.
Bolstered by low interest rates and a venture capital market asking businesses to grow at all costs, ZoomInfo's sales-growth-focused platform was in high demand, with revenue spiking by 57% in 2021. However, things couldn't be more different just a few years later.
With soaring interest and inflation rates -- and the (incorrect) expectation for a U.S. recession in 2023 -- these same venture capital firms asking for growth in 2021 now needed to see profitability above all else. These factors put ZoomInfo's products on the back burner, leaving the company's sales growth at just 9% in its most recent quarter.
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1 Top Growth Stock Down 80% to Buy in 2024 and Hold Forever