Investors looking to understand the overall picture around Reddit stocks should consider ApeWisdom. The website tracks trends surrounding popular stocks that are gaining or already have lots of traction on the aggregation and discussion social media platform. So, it’s a great first stop when considering which Reddit stocks to buy on the dip. 

It really depends on the risk tolerance of the individual who uses Reddit for investment advice, but these stocks can be a mixed bag. Speculation is rampant on the site. That means risk-tolerant investors can easily find riskier picks on the site. 

But at the same time, there is plenty of more moderate advice to be found as well. That’s mostly what is included in this list, because predicting the next AMTD Digital (NYSE:HKD) is exceedingly difficult. That said, here are seven Reddit stocks to buy on the dip.

Reddit Stock to Buy on the Dip: Tesla (TSLA)

It’s fairly easy to construct a positive narrative around Tesla (NASDAQ:TSLA) stock whenever it falters. So, although Tesla is down 25% year-to-date (YTD), plenty of bullishness remains. 

The electric vehicle (EV) pioneer has proven masterful at remaining top-of-mind. Company leadership is doing what it should be given share prices are part science and part art. Elon Musk is always in the spotlight, and that keeps Tesla prices high to a degree. 

Investors should also remain optimistic about TSLA stock on the news that shareholders are behind a 3-for-1 stock split based on early voting. A split would be the second of its kind in two years if successful. The last split resulted in a tripling in share price, so investors are likely to be behind this one as well. 

Further, Musk recently stated Tesla will require roughly a dozen factories in order to meet its annual sales goal of 20 million vehicles by 2030. All signs point to serious growth ahead. 

Alcoa (AA)

Alcoa (NYSE:AA) is a commodity stock representing a firm that produces bauxite, alumina and aluminum products. It presents an opportunity to buy a company that is growing steadily, yet hasn’t been immune to macrotrends. 

Company-wide revenues increased per the most recent earnings report. In fact, revenue grew nearly 29% in the second quarter while net income rose by more than 76%, reaching $496 million in the quarter. 

But the problem is that sequential results may be scaring investors away. Alcoa’s revenues increased from $3.3 billion to $3.6 billion between the first and second quarters this year. However, net income decreased from $577 million to $496 million. 

Investors are shying away from shares based on that fact. But for buyers who understand sequential results don’t make for an apples-to-apples comparison, the opportunity is obvious.  

At the end of the day, Alcoa is performing extraordinarily well and has met or exceeded guidance in each of the last four quarters. 

Reddit Stock to Buy on the Dip: Apple (AAPL)

In some sense, Apple (NASDAQ:AAPL) has already beaten the dip. The firm’s July 28 earnings report proved to be better than expected. Apple reported $83 billion in sales and earnings per share, or EPS, of $1.20 while Wall Street had been expecting $82.8 billion and $1.16, respectively. 

Those strong results were bolstered by iPhone sales that totaled $40.7 billion. It wasn’t all rosy, however, as Mac sales fell short of their $8.7 billion goal, reaching $7.4 billion. 

Overall, the news was strong, as Apple set a June quarter revenue record. The company returned $28 billion to its shareholders during the quarter as well. 

Further, Apple generated $23 billion in operating cash flow, which suggests it will have no problem financing its growth objectives, including bringing chip manufacturing in-house for iPhones. There’s a strong case to be made that Apple is the best tech stock available at this time. 

Advanced Micro Devices (AMD)

Advanced Micro Devices (NASDAQ:AMD) stock is primarily known as a semiconductor supplier to the computer industry and data centers. 

Investors are stumbling to make sense of recent news as the company sees a weakening personal computer market. Despite the fact that AMD derives much of its business from that sector and predicts a slowdown, the company has not slashed its full-year outlook. That is in sharp contrast to rival Intel (NASDAQ:INTC). 

Investors should understand AMD is doing well despite the broader macro environment. Revenue increased 70% following AMD’s long-awaited acquisition of Xilinx. That acquisition did, however, lead to net income decreasing 37% in the quarter. 

The bullish narrative is that a reinvigorated AMD, bolstered by Xilinx’s strength in FPGA chips, looks much stronger moving forward and is better able to capture important markets.  

Reddit Stock to Buy on the Dip: ON Semiconductor (ON)

ON Semiconductor (NASDAQ:ON) stock represents a rapidly-growing, profitable chipmaker involved in several important sectors. 

The company has a strong presence in the automotive sector and is particularly notable for its position in relation to EVs. And while it benefits from secular trends around that burgeoning industry, its current performance should really attract investors.

The company just recorded its first-ever quarter with revenues in excess of $2 billion, representing a 25% increase on a year-over-year (YOY) basis. Firm profits increased from $184.1 million to $455.8 million in the same period. 

The company is currently benefiting from strong auto demand, so ON stock is ideal for investors seeking a stock to capitalize on that trend. It also expects to record revenues exceeding $2 billion in the coming quarter. 

PayPal (PYPL)

There’s lots of good news surrounding PayPal (NASDAQ:PYPL) stock currently. For one, the pioneering fintech firm did better than expected in Q2. Perhaps most importantly, PayPal’s Q2 earnings exceeded analyst expectations. 

Shares lost massive value in 2022 and the company had to revise guidance downward earlier in the year. Prices tumbled and had the market wondering if PayPal was on a path to irrelevance as the market tightens. 

The earnings beat eased a lot of that worry. PayPal also revealed a $15 billion share buyback plan which should serve to ease investor worries even more.  

PYPL stock is unlikely to rebound to the high-$200 price range it tested in late 2021. But there is still plenty of upside from its current $99 price point. There are signs the tech wreck has turned a corner. If that’s true, PayPal is at a great entry point. 

Reddit Stock to Buy on the Dip: Occidental Petroleum (OXY)

Occidental Petroleum (NYSE:OXY) stock saw an uptick in interest through Q2 as Warren Buffett’s firm bought heavily in June and July. That had many investors interested in the oil extraction firm. 

Buffett was proven correct as Occidental Petroleum topped estimates in the quarter on strong commodity prices. The reason to like OXY stock moving forward is the company maneuvered deftly this quarter. It used those higher-than-anticipated profits to pay down a whopping 19% of outstanding debts. 

That’s a textbook Buffett play. Additionally, the company repurchased $1.1 billion of its shares in the quarter, proving it rewards shareholders who believe in it. In short, energy stocks will remain volatile, but OXY stock is operating a fundamentally smart business with long-term value in mind. 

On the date of publication, Alex Sirois did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.