With the market down materially over the last couple of months, a number of top shares have fallen heavily from their highs.
So much so, you could argue that they are on sale at current levels.
Three shares that have fallen heavily from their highs are listed below. Here's why I think they are on sale:
Appen Ltd (ASX: APX)
The Appen share price is down 32% from its 52-week high of $32.00. I think this has left the tech company's shares trading at a very attractive level for a long term investment. This is due to its exposure to the rapidly growing artificial intelligence (AI) and machine learning markets. This has led to increasing demand for its content relevance services and supported explosive growth over the last few years. Combined with its recent acquisitions, I believe Appen is well-positioned for further growth over the coming years.
REA Group Limited (ASX: REA)
This property listings company's shares have come under a lot of pressure over the last few weeks due to concerns over the impact the coronavirus is having on the housing market. REA Group's shares are down almost 30% from their 52-week high. Whilst its performance in the near term will almost certainly be impacted, I believe its long term outlook is as positive as ever. This could make it worth picking up its shares now and making a patient buy and hold investment.
Telstra Corporation Ltd (ASX: TLS)
Another share which I think is on sale at the moment is Telstra. Its shares are down 23% from their 52-week high of $4.01. This is despite the telco giant recently reaffirming both its free cash flow and underlying EBITDA guidance for FY 2020. Another positive which the market appears to have overlooked is that its outlook is greatly improved. This is thanks to the return of rational competition in the telco industry, the early success of its T22 strategy, and the near completion of the NBN rollout. I suspect that a return to growth could come as soon as FY 2022.
