Of course, shares in companies that have been sold off heavily are likely to bounce back strongly if the concerns expressed by investors that led to the share price decline prove unfounded. But as is always the case, any investment decision is all about balancing risk and reward. Personally, I would rather recommend buying shares in a quality small-cap company with a solid and loyal shareholder base and where the share price is unlikely to take a hit if investor risk-aversion rises any further.
High margin, and high growth software play