Best Growth Stocks To Watch and Invest In Right Now
Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information. We use data-driven methodologies to evaluate financial products and services - our reviews and ratings are not influenced by advertisers. You can read more about our editorial guidelines and our products and services review methodology.
20 Years
Helping You Live Richer
Reviewed
by Experts
Trusted by
Millions of Readers
Growth stocks attract investors who are willing to accept higher volatility in exchange for the potential for faster earnings and revenue expansion. These companies typically reinvest profits to scale their business, develop new products or expand into new markets rather than prioritizing dividends.
While growth stocks can outperform during strong economic periods, they are also more sensitive to interest rates, valuations and earnings expectations. The goal isn’t to chase momentum, but to focus on companies with durable growth drivers, strong balance sheets and scalable business models.
At a Glance: Best Growth Stocks
Company Ticker Primary Growth Driver Risk Profile/Use Case One-Line Reason It Stands Out Apple AAPL Services ecosystem expansion Medium Recurring revenue supports long-term growth Microsoft MSFT Cloud computing and AI Medium Enterprise dominance with diversified revenue NVIDIA NVDA AI and data center chips High Central supplier to AI infrastructure Amazon AMZN Cloud services and logistics scale Medium to high AWS drives profitability Alphabet GOOGL Digital advertising and AI Medium Cash flow funds innovation Meta Platforms META Digital ads and AI efficiency Medium to high Margin recovery through AI tools Tesla TSLA EV scale and software High Technology-driven auto growth
Why Investors Focus on Growth Stocks
Growth stocks benefit when companies can expand earnings faster than the overall economy. According to S&P Dow Jones Indices, growth-style stocks have historically outperformed during periods of falling interest rates and accelerating economic growth.
However, growth stocks are more sensitive to valuation changes when rates rise.
What Is a Growth Stock?
A growth stock is a company expected to grow revenue or earnings faster than the broader market. These stocks often trade at higher price-to-earnings multiples because investors are paying for future growth.
The U.S. Securities and Exchange Commission notes that growth investing involves higher uncertainty, since expectations are based on future performance rather than current income.
Best Growth Stocks To Consider
Apple (AAPL)
Apple’s growth increasingly comes from services, subscriptions and ecosystem expansion rather than device sales alone. According to company filings, services revenue provides higher margins and recurring cash flow. Hardware demand cycles still influence short-term performance.
Microsoft (MSFT)
Microsoft benefits from cloud computing, enterprise software and AI integration. The company reports continued growth in Azure cloud services, which supports long-term revenue expansion. Valuation sensitivity remains a consideration during rate changes.
NVIDIA (NVDA)
NVIDIA plays a central role in AI infrastructure, supplying chips for data centers and machine learning workloads. According to filings, data center revenue has driven recent growth. Demand cycles and competition add volatility risk.
Amazon (AMZN)
Amazon’s growth is supported by cloud services through AWS and improvements in retail efficiency. Company disclosures show AWS contributes a large share of operating income. Capital spending and consumer demand affect near-term results.
Alphabet (GOOGL)
Alphabet combines advertising revenue with long-term AI investment. According to filings, Google Cloud continues to grow as profitability improves. Regulatory scrutiny and ad spending cycles remain key risks.
Meta Platforms (META)
Meta’s growth strategy focuses on ad efficiency and AI-driven engagement. Company reports show margin improvement through cost discipline and automation. Advertising demand and platform regulation affect performance.
Tesla (TSLA)
Tesla combines vehicle manufacturing with software and energy storage. According to company disclosures, long-term growth depends on production scale and cost efficiency. Price competition and demand fluctuations increase volatility.
Growth Stocks vs. Value Stocks
| Feature | Growth Stocks | Value Stocks |
|---|---|---|
| Earnings Outlook | Faster expected growth | Slower, stable growth |
| Valuation | Higher multiples | Lower multiples |
| Dividends | Rare | Common |
| Volatility | Higher | Lower |
| Rate Sensitivity | High | Lower |
The Federal Reserve notes that rising interest rates can compress valuations for growth stocks by increasing discount rates on future earnings.
Risks To Understand Before Investing
Growth stocks can underperform during economic slowdowns or when earnings disappoint. The SEC cautions that high expectations increase downside risk when growth slows.
Diversification and position sizing are key risk-management tools.
How Growth Stocks Fit Into a Portfolio
Many investors use growth stocks as a long-term appreciation component, balancing them with value stocks, bonds or income assets. Vanguard research shows that asset allocation drives long-term returns more than stock selection alone.
Final Take to GO
The best growth stocks tend to combine scalable business models, strong cash flow and exposure to long-term trends like cloud computing, AI and digital services. Companies like Apple and Microsoft offer steadier growth, while NVIDIA and Tesla bring higher upside with greater volatility.
For most investors, growth stocks work best as part of a diversified, long-term strategy rather than a short-term bet.
Best Growth Stocks FAQ
- What are growth stocks?
- Growth stocks are companies expected to grow revenue or earnings faster than the overall market.
- Are growth stocks risky?
- Yes, growth stocks tend to be more volatile due to higher valuations and future expectations.
- Do growth stocks pay dividends?
- Most growth stocks reinvest profits rather than paying dividends.
- Are growth stocks good for beginners?
- They can be, but beginners may prefer diversified funds to manage volatility.
- How much of a portfolio should be in growth stocks?
- Many investors balance growth exposure with other asset types to manage risk.
Information is accurate as of Jan. 28, 2026.
Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.
Our in-house research team and on-site financial experts work together to create content that’s accurate, impartial, and up to date. We fact-check every single statistic, quote and fact using trusted primary resources to make sure the information we provide is correct. You can learn more about GOBankingRates’ processes and standards in our editorial policy.
- Vanguard "Vanguard’s portfolio construction framework"
- S&P Global "S&P 500 Growth"
- U.S. SEC "Saving and Investing: A Roadmap To Your Financial Security Through Saving and Investing"
- U.S. Federal Reserve "Financial Stability Report: November 2025"
- SEC Investor.gov "What is Risk?"
- Apple "Apple Form 10-K, SEC EDGAR"
- Microsoft "Microsoft Form 10-K, SEC EDGAR"
- NVIDIA "NVIDIA Form 10-K, SEC EDGAR"
- Amazon "Amazon Form 10-K, SEC EDGAR"
- Alphabet "Alphabet Form 10-K, SEC EDGAR"
- Meta Platforms "Meta Platforms Form 10-K, SEC EDGAR"
- Tesla "Tesla Form 10-K, SEC EDGAR"
Written by
Edited by 

















