These beaten-down small and mid-cap stocks are poised for a rebound, Barclays says

Customers exit a Ralph Lauren Corp. store in downtown Chicago, Illinois.
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Small and mid-cap companies with typically weaker credit profiles have generally taken a harder hit by the unprecedented coronavirus pandemic. This created a stock-picking opportunity for investors in the space as many companies are due for a rebound, according to Barclays.

The Wall Street firm screened its small- and mid-cap universe of nearly 400 stocks and found a number of high-conviction names with improving near-term fundamentals and resilient business models in the midst of the pandemic.