The Bulls Are Coming: 2 of the Best Growth Stocks to Buy Now and Get Ahead

A bull outlined against a field

Image source: Getty Images.

Bull markets are essentially what every investor waits for. If you haven’t heard of the term bull market before, it’s when the market rises 20% or more. These events are great for investors because it means they would’ve made a lot of money over that time. During bull markets, investors tend to be even more willing to put money into stocks, further raising the price of high-quality companies.

With that said, I think it’s important for investors to get into the stocks they want as soon as possible. In this article, I’ll discuss two of the best growth stocks to buy now and get ahead of everyone else.

A great growth stock for your portfolio

Shopify (TSX:SHOP) may not be as popular as it was before 2021, but I still think it’s one of the best stocks to hold in a growth portfolio today. For those who aren’t familiar with this company, it’s a leader within the global e-commerce industry. Shopify provides merchants of all sizes with a platform and many of the tools necessary to operate online stores. Because of the breadth of Shopify’s offerings, everyone from first-time entrepreneurs to large-cap enterprises can find solutions that cater to them.

The reason many investors have shied away from this stock is because of its recent struggles. Last year, the company laid off 20% of its workforce. That comes about a year after Shopify already cut more than 10% of jobs. Because of those reasons, it’s fair to wonder if the company is still headed in the right direction.

Taking a look at Shopify’s most recent earnings presentation gives us the answer to that question. In 2023, Shopify racked up US$7.1 billion in revenue. That represents a year-over-year increase of 26%. Shopify’s operating income in 2023 was also US$782 million, compared with only US$46 million back in 2019 when this stock was a high flier in the stock market. Clearly, Shopify is operating and growing very well. That’s likely why this stock has gained 75% over the past year.

A very underrated stock

Alimentation Couche-Tard (TSX:ATD) is another great stock that Canadians should consider buying. If you don’t live in Quebec, you probably don’t know this company under its flagship name. However, consumers in other provinces may recognize it as Mac’s. Alimentation Couche-Tard also operates under different banners, such as On the Run, Daisy Mart, and Circle K, to name a few. Alimentation Couche-Tard operates in more than 20 countries and territories and has over 16,000 locations.

  • We just revealed five stocks as “best buys” this month … join Stock Advisor Canada to find out if Cineplex made the list!

This convenience store company isn’t one that many would immediately think of in terms of an outstanding growth stock. However, it’s exactly that. Alimentation Couche-Tard stock has gained nearly 100% over the past five years. In addition, the company’s dividend has grown more than 10-fold since 2013. That represents a compound annual growth rate of 27%. Although Alimentation Couche-Tard’s dividend is quite small today, it demonstrates the company’s excellent capital allocation.

Source link