URGENT UPDATE: After a significant sell-off, investors are questioning whether now is the time to buy the dip on two troubled ASX 200 stocks: Zip Co Ltd (ASX: ZIP) and GQG Partners Inc. (ASX: GQG). Both stocks plummeted by 7.6% and 8.6% respectively, raising concerns among investors just yesterday.
The S&P/ASX 200 Index (ASX: XJO) managed to rise by 0.56%, but the dramatic declines of these two companies have sparked urgent discussions on social media and financial platforms about potential buying opportunities. So, what caused this sharp downturn, and should investors act now?
Zip Co Ltd, a leading player in the buy now, pay later (BNPL) sector, saw its share price tumble over 7% on October 25, 2023. Investors appear to be capitalizing on profits after a remarkable 27% increase in the past six months. Despite the decline, analysts maintain a positive outlook. Macquarie has reaffirmed an outperform rating with a price target of $4.85, suggesting a potential upside of almost 48% from its recent closing price of $3.28.
Furthermore, The Motley Fool’s Grace Alvino highlighted that projected earnings per share for Zip are expected to rise from 7.9 cents in FY26 to 12.1 cents in FY27. With a one-year price target of $5.45 from TradingView, investors may see over 66% upside potential, enhancing the appeal of Zip as a buy-the-dip candidate.
On the other hand, GQG Partners Inc. faced a challenging day as its shares fell 8.6%. The global fund manager reported Funds Under Management (FUM) of US$163.9 billion as of December 31, 2025, a rise from US$153.0 billion the previous year. However, the company faced net outflows of US$2.1 billion in December 2025, which fueled investor fears and contributed to the sell-off.
Despite the challenges, analysts remain optimistic. Macquarie holds an outperform rating for GQG with a price target of $2.50, indicating a potential upside of more than 52%. Additionally, income investors may be drawn to GQG’s projected yield of approximately 12% in the coming years.
The question of whether to buy the dip on these ASX 200 stocks is heating up as investors weigh the potential for rebounds against current market volatility. With Macquarie and other analysts backing these stocks, many may see a unique opportunity in this downturn.
WHAT TO WATCH FOR: Investors should keep an eye on upcoming earnings reports and market trends that could influence stock performance. As the situation develops, it will be crucial to monitor any changes in guidance or forecasts from both companies to gauge their recovery potential.
As discussions unfold on platforms like Twitter and investment forums, the urgency to make informed decisions about these ASX 200 stocks is palpable. Will you take the plunge and buy the dip? Stay informed as we continue to track these developments.
