3 Growth Stocks Down 43%, 28%, and 41% to Buy Right Now

UiPath reported $481M revenue and $150M non-GAAP operating income in the most recent quarter (up 14% and 12% YoY respectively) while shares are >40% below a December peak and trade under ~14x projected 2026 EPS, presenting a value case. Remitly reported active customers of 9.3M (+19% YoY), total transfers +35%, Q4 revenue $442M (+26%) and swung to $41.2M profit from a $5.7M loss a year earlier, despite a ~41% pullback from last February's high. Meta’s Q4 2025 revenue grew 24% with ARPU +16% YoY, shares are ~28% below an August high, and the company is leveraging AI to strengthen its core ad/social business rather than pursuing standalone AI hardware/software plays.

Analysis

UiPath: the company’s core product is positioned to convert LLM-driven capabilities into immediate enterprise automation dollar wins — think knowledge extraction + action orchestration — which can expand per-customer spend without proportional sales cost. That expansion is likely to show up within 6–18 months as pilot projects scale, benefiting gross margins and FCF conversion, but the stock remains exposed to IT spend cycles and to cloud vendors embedding basic automation into SaaS stacks (a price-compression risk). A smart way to think of PATH is as a software re-rating trade: product-led unit economics can meet multiple expansion if execution stays intact, but downside is quick if churn or competitive bundling accelerates.

Remitly: the business captures two durable monetizable frictions — corridor-specific pricing power and KYC/settlement moat — which creates asymmetric upside as migration and wage convergence continue. Near-term catalysts are partnerships and corridor expansion that meaningfully lift take-rates; near-term risks are regulatory interventions in key corridors and FX shocks that can swing volumes quickly. This is a classic niche network-effect fintech where small share gains on high-frequency corridors compound into outsized revenue per user over 12–24 months.

Meta: the company’s competitive lever is embedding AI to raise auction clearing prices and time-on-site rather than selling AI as a standalone product, which keeps capital intensity and margin expansion under management. Second-order effects include a potential reduction in hyperscaler GPU demand if Meta accelerates internal accelerator builds and software efficiency, shifting supplier winners and losers over 12–36 months. The primary macro risk is ad cyclicality; the primary structural risk is regulation around personalization and ad formats, both of which can compress ARPU quickly if triggered.

Key Decisions for Investors

• Long PATH (12–18 months): buy shares or a 12–18 month call spread (buy LEAP calls, sell a higher strike to fund) sized 2–3% portfolio. Rationale: product-LTV expansion via LLM orchestration could re-rate multiples toward 15–20x forward earnings; reward ~50–80% vs downside ~30–40% if enterprise spend weakens. Hedge with a small short position in an overvalued “AI hardware” basket or 2–3% portfolio put protection on SPX for macro risk.
• Long RELY outright (9–18 months): buy shares or long-dated calls sized 1–2% portfolio; alternatively pair long RELY / short PYPL (equal notional) to isolate remittance corridor outperformance. Rationale: corridor monetization and network effects drive steady unit economics; target relative outperformance of 15–25% over PYPL within 12 months. Tail risk: regulatory or FX shock can produce 25–40% drawdown — size accordingly and use 10–15% trailing stops or buy protective puts.
• Core position in META using a collar (3–12 months): buy shares, sell near-term OTM calls to finance and buy modest OTM puts for protection, position 3–5% portfolio. Rationale: embeds AI into monetization with limited incremental capital intensity; expected upside 25–50% if ad momentum holds, capped downside ~20–30% in recession with collar protection. Monitor ad bookings and auction CPMs as weekly catalysts.
• Tactical macro hedge (0–6 months): buy S&P put spread or VIX calls sized ~1% portfolio to protect against a broader risk-off that would hit growthy AI/fintech names simultaneously. Rationale: concentrated bets across PATH/RELY/META amplify correlation to a marketwide re-pricing event; small cheap protection preserves asymmetric upside.