In the market for stocks with huge potentials for your portfolio? Here are some growth stocks to keep an eye on.
Growth stocks are young or small companies that investors believe have the ability to increase at an above-average rate when compared to their industry, sector, or the overall market. It requires a lot of patience and the ability to stomach losses but at the end of the day, buying a stock for less and watching it reward your patience is fulfilling.
In the market for stocks with huge potentials for your portfolio? Here are some growth stocks to keep an eye on
The digital payment company, Square (NYSE: SQ), is one of the world’s fastest-growing digital companies. Square is a digital payments and financial services company co-founded by Twitter’s Jack Dorsey. Square’s CashApp has been a massive hit since its inception in October 2013. The peer to peer payment platform generated $1.63 billion from bitcoin revenue alone in the third quarter of 2020. Square is part of the rapidly expanding digital payment market, which experts forecast to grow from $910 billion in 2020 to $1.5 trillion in 2024. Impressively, Square is increasing faster than the overall market, and analysts predict a robust sales increase of 230% year-over-year in 2020 to $7.5 billion.
Roku (NASDAQ: ROKU) is a leading streaming company in the United States. The streaming company has evolved from stand-alone box sets to a built-in TV for streaming. Roku’s had an impressive third quarter, reporting an increase not only in watch hours but in ad sales. The streaming company recorded a whopping 14.8 billion hours and a 57% increase in ad sales from the prior-year quarter. Roku’s revenue increased by 73% in the same third quarter, and sales grew by 79% year over year. Roku plans to expand into the international market and these numbers are very likely to double.
Palantir (NYSE: PLTR) wants to be the operating system for governments. The software company specializing in data mining, analysis and presentation. More than half of its revenue is from the U.S government and this poses a key risk. However, the American government is an incredibly lucrative client with very deep pockets and they are unlikely to reduce spending on intelligence gathering. The software company reported a 52% revenue growth in its first earnings announcement since going public in September, showing rapid revenue growth. Palantir, at a share price of $22.51, is still considerably cheaper than alot of recent tech IPOs. Investors looking for a recession-proof portfolio should pay more attention to Palantir.
Snap Inc (NYSE: SNAP) is an innovative multimedia messaging app with strong growth potential. Its third-quarter report showed 52% year over year growth. The Social media company currently has about 249 million average daily users, an 18% year over year growth. These impressive figures show Snapchat’s popularity is nowhere near over. The multimedia company recently launched a new TikTok- like feature, Spotlight, offering to pay creators for viral content. Snap chat is making plans to introduce AR imaging for its new e-commerce strategy. Analysts predict a 20% growth in online advertising in 2021.
Activision Blizzard (NASDAQ: ACTVI) is the maker of beloved classics like Call of Duty, Warcraft, and the Candy Crush Saga. Activision has been on beast mode this year, announcing a 52% revenue growth and clocking 111 million active monthly users in the last 3rd quarter earnings report. On the back of the strong third-quarter growth, the company looks to hire 2,000 new staff. With the holiday shopping season around the corner, Blizzard is not a company to sleep on.
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