Growth stocks can make you rich. Rapidly expanding companies can increase their sales and profits exponentially over time, thereby creating enormous wealth for their investors along the way.
The key, of course, is knowing what stocks to buy, and when. One way to do this is to find powerful long-term trends that can drive the growth of even the largest industries, and the best positioned companies to benefit from them.
Here are five outstanding shares with particularly powerful growth drivers.
These are the growth stocks you are looking for. Image source: Getty Images.
NVIDIA
NVIDIA (NASDAQ: NVDA) offers investors multiple ways to earn. Its graphics processing units (GPUs) are increasingly used by cloud computing giants, such as Google Cloud, to speed up operations in their data centers. Its GPUs also help power cutting-edge gaming systems, which benefit from both the increased demand for home entertainment during the COVID-19 crisis and the growth of competitive gaming worldwide.
Better yet, NVIDIA chips are finding new uses in areas such as healthcare, autonomous vehicles, and telecommunications networks. These are potentially massive new markets for NVIDIA, and should help fuel its growth for many years to come.
DocuSign
DocuSign (NASDAQ: DOCU) It is helping companies adapt to a world full of coronaviruses. Its software helps people create, sign and manage digital agreements. DocuSign’s electronic signature technology was already enjoying strong adoption before the COVID-19 crisis, and the need for social distancing during the pandemic has only served to drive demand for its services.
As an electronic signature leader, DocuSign is helping to accelerate the mega-trend of digital transformation. And with many companies still in the early stages of transitioning their paper-based processes to the cloud, DocuSign has many years of strong growth still ahead.
Alibaba
COVID-19 is also accelerating the growth of electronic commerce and digital payments. Alibaba (NYSE: BABA) It will benefit from the expansion of these industries in China more than any other company.
Alibaba dominates the online retail market in China, where e-commerce sales are projected to exceed $ 4 trillion annually by 2023, compared to $ 1.9 trillion in 2019, according to eMarketer. Alibaba also owns a 33% stake in Ant Group, which operates Alipay, a leading online and mobile payment service in China. This gives Alibaba, and its shareholders, two powerful ways to make a profit as retail sales change online in the world’s most populous nation over the next decade.
PayPal
PayPal (NASDAQ: PYPL) It will also benefit from the impressive growth of the e-commerce industry. In fact, the digital payments leader is helping to drive it.
PayPal makes online sales easier, faster, and more secure. Eliminates the need for online shoppers to expose their credit or debit card account numbers every time they make a purchase. By doing so, you help protect them from those who would use this information to make fraudulent purchases. Safer consumers make more purchases, to the delight of online merchants.
PayPal also owns the popular Venmo peer-to-peer payment application. This provides its shareholders with another great way to benefit from the growing growth of digital payments and cash transfers around the world.
Sales force
Like DocuSign, Salesforce.com (NYSE: CRM) It is helping companies digitally transform their operations. The titan’s cloud-based customer relationship management software makes it easy to conduct business remotely. It also tends to be more profitable and secure than traditional software.
Additionally, Salesforce’s data integration platform, which helps companies aggregate and analyze data from a multitude of sources, is widely considered best-in-class. In addition, its artificial intelligence platform Einstein is helping to position Salesforce as a leader in increasingly important fields, such as natural language processing, image classification, and automatic speech recognition. Together, these advanced technologies should help drive Salesforce’s relentless expansion in the next decade.
