Growth stocks investing has been booming over the last decade. They can be a great way to produce market beating returns, however not all growth companies are worthwhile investments. Let’s dive into what we think are some of the best growth stocks to buy right now.
Best Growth Stocks for Oct 2021
Some of the best growth companies come from high growth and emerging industries and trends like cloud computing, AI, digital advertising, digital payments, e-commerce companies and SaaS companies with recurring revenue.
Often the best companies have large addressable markets, competitive advantages like first-to-market, network effects and a high cost of switching to competitive products or services.
Here are some of the best growth stocks we see in the market today.
|Stock Advisor & Rule Breakers Picks (2019 to 2021)||Return||Annualized Return|
|Streaming Advertising Company||393%||157%|
|Cloud Services Company||294%||107%|
Building a Growth Stocks Portfolio
We believe investing in great growth stocks can produce some of the best returns over the long-term and a portfolio should contain at least 10 stocks with a five year or longer expected holding period.
Investing in great companies is key and getting investing earlier in the companies growth can accelerate the returns. Building a successful growth stock portfolio can take patience and diligence to find the best opportunities at the right time.
Growth Stock Recommendation Services
Each service offers two new recommendations per month and provides monthly “best buys” which are their highest conviction picks from past recommendations.
The Motley Fool is offering a bundle with full access to both services for $199/year which is $300 off the regular price. Both services are very complimentary and the bundle offers great value and comes with a 30 day money back guarantee.
|Best Motley Fool Picks Since 2019||Return||Annualized Return|
What are growth stocks?
Growth stocks are companies that grow their revenues at a faster rate than the industry average and that invest heavily on top-line growth. Hence their focus is on growing the base of their business first and the focus on profits comes later.
Growth stocks are often contrasted to value stocks which are stocks that trade at a lower price to their earnings and sales, while growth stocks trader as higher prices due to their future growth potential.