Growth stocks are not for the less hearts. In bear markets – like the one in investors in April 2025 for the NasdaqComposite Index – Growth actions will tumble in the middle of great volatility. To date, many of your preferred growth shares are down 20%, 30% or more in a few months.
Buying weakness like this may seem frightening. What if you don’t timer the background perfectly? This is not the right question to ask. When everyone panic and their time horizons shrink next week, it’s time to extend your time horizon and think about buying actions to be preserved for the next 10 years.
Many growth stocks that are offset to inexhaustive at the moment and could provide fantastic yields over the next five to 10 years. Here are two growth actions which, in my opinion, can become parabolic and provide fantastic gains for your wallet.
Do you worry about prices that have an impact on consumer spending in the United States? So you might love Coupang(NYSE: CPNG)an online South Korean market with similarities with Amazon. It is not sold in the United States and – unless South Korea imposes prices on China and other Asian nations – should see minimum disturbances in these pricing policies that upset the American markets.
Rebuilding the price noise, Couang is a phenomenal company with a fantastic growth history. Despite the opposite winds in foreign currency during the calculation of finance in US dollars, coupang income exploded by 24% from one year to the next to reach $ 30.3 billion in 2024. The US dollar starting to depreciate compared to foreign currencies, this front wind can be turned into a rear wind in 2025.
Buyers love the coupang market because of its wide selection and its ultra-fast delivery times. It also offers video streaming, grocery delivery and even installation of devices and items such as tires for your car. Even Amazon does not offer this level of service.
With only a small ribbon of the South Korean Global retail market, Couang has a lot of space to grow in the years to come. And it is starting to generate available cash flows at $ 1 billion in 2024. In a few years, I expect Couang’s revenues to reach $ 50 billion; 5 billion dollars in profits, or just a 10%profit margin, can be achieved on this income, which the guide management.
Today, Couang has a market capitalization of less than $ 40 billion. This means that it is negotiated with a price ratio / long -term benefit (P / E) Below 8, a cheap silhouette for a fast growing company as a coung. At these cheap prices, I think that coupang actions are ready to become parabolic during the next decade.
The second stock that could potentially become parabolic is just in the Trump price saw. It’s a giant technology Alphabet(Nasdaq: Goog)(Nasdaq: Googl)Google parent company. The stock has been struck in recent months in terms of concerns about competition from artificial intelligence (AI), and this large market sale now adds to pain. When writing these lines, the P / E ratio dragged on the stock is 18, which is well below the S&P 500 The average of the index of 27.
Alphabet is criticized not to dominate the AI market, but I don’t think it’s the right way to frame the situation. He is the main researcher and developer of new technological tools and has an advantageous position with his computer chips focused on localized AI optimizing his data centers.
Investors should see AI as an opportunity for Google Search, YouTube and Google Cloud to grow, not as a competitive threat causing disturbances. Of course, Google will no longer be a monopoly in research, but that does not mean that the company’s revenues will be zero when it plays on a market that can be worth billions of dollars in a decade.
Investors see this in the finances of the alphabet. Google Cloud returned increased by 30% from one year to the next in the fourth quarter of 2024. YouTube advertising increased by 14%. Google Search – which is apparently disturbed by AI – increased by 12.5% to $ 54 billion. Yes, $ 54 billion in income in just a quarter.
Alphabet also systematically bought its actions and has just started to pay a dividend to the shareholders. Add everything together, and alphabet looks like a stock of fantastic growth to buy and keep for the long term. Zoom in and focus on the next decade to see that this is a high quality company in which you can buy a relatively cheap price.
Before buying alphabet actions, consider this:
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Suzanne Frey, director of Alphabet, is a member of the board of directors of Motley Fool’s. Brett Schafer has positions in alphabet and coung. The madword of the word has positions and recommends the alphabet. The Motley Fool recommends Couang. The Word’s madman has a Disclosure policy.
