2 Cheap Mid-Cap Growth Stocks That Can Benefit From Lower Interest Rates

"The mid-cap stocks might finally be worth a second look now that interest rates are coming down. With more cuts expected in the new year and a potential wave of M&A activity that could see industry heavyweights scoop up the small- and mid-cap firms, perhaps considering a firm with a sub-$10 billion market cap could make sense with your next purchase."

"Notably, Lyft's autonomous shuttle partnership could pay big dividends as the firm targets high-traffic areas like airports. Such a service is sure to be welcomed news by frequent flyers. Add regional robotaxi partnerships (think Waymo and lesser-known autonomous driving startups) into the equation, and Lyft seems to have a pretty solid growth runway as robotaxis continue to roll out."

Falling interest rates and expected rate cuts next year could renew investor interest in small- and mid-cap stocks and increase takeover activity. Mid-cap firms can exhibit greater volatility and risk but also offer the potential for outsized returns. The piece highlights Lyft, a $7.7 billion ride-hailing company that has gained over 50% in two years while competing with Uber. Autonomous vehicles are identified as a potential growth catalyst for Lyft, with autonomous shuttle partnerships targeting high-traffic areas like airports and regional robotaxi alliances, including Waymo and smaller startups, possibly expanding Lyft's growth runway.

Read at 24/7 Wall St.