3 Well-Performing Growth Stocks to Buy and Hold

Growth stocks have had a difficult time recently. It’s challenging to create an article about growth stocks to purchase this month. This group staggered until 2022 before succumbing to the hammer coming down. Investors rushed to liquidate these equities as quickly as possible, with several plummeting from already low levels.

As a result, growth investors expect a long-term rebound and a bottom more precisely. Since the bottom in mid-March, we’ve seen a strong rally. Many of these stocks, however, have come under renewed pressure. They haven’t quite retested the 2022 lows, but they’re getting close. Investors are contemplating jumping in and buying any of these battered equities if we see a persistent slide this month.

There will come a point when these stocks cease to make new lows. So yet, it does not appear as if that time has arrived. The three stocks in this list, on the other hand, may very well have value if investors can maintain a stable position in them. 

Moving ahead, let’s look at three growth stocks that have impressed investors and experts enough to earn buy-ratings, making them safe bets for us who are looking for long-term investments:

DigitalOcean Holdings Inc (DOCN)

DigitalOcean, Inc. (DOCN) is a cloud infrastructure company based in the United States. DOCN‘s headquarters are in New York City, and the company has data centers worldwide. Developers, entrepreneurs, and small businesses can use DOCN‘s cloud infrastructure-as-a-service (IaaS) platforms. DOCN is a relatively young growth company with a lot of potential. The corporation debuted a little over a year ago, in March 2021, but didn’t immediately soar to new heights. Instead, it sat and waited, drifting higher as many of its counterparts were immersed in bear markets. The stock then soared to all-time highs in November.

DOCN shows solid financials, impressively beating Wall Street experts’ earnings projections for the last four fiscal quarters. Most recently, it exceeded EPS expectations by 10.20% and revenue predictions by 0.54%. Year-over-year, DOCN displays healthy growth in critical areas, with revenue growth of 36.73% and EPS growth of 65.62%. Until they report again, DOCN’s current quarter shows us $126.3 million in sales, at 12 cents per share. Analysts offering 12-month price forecasts for DOCN have a median target of 70.00, with a high of 100.00 and a low of 60.00. The forecast represents a 37.25% increase from the most recent price, and the consensus is to buy stock in DOCN.

Twilio Inc (TWLO)

Twilio Inc (TWLO) is a San Francisco, California-based firm that uses web service APIs (Application Progam Interfaces) to provide programmable telecommunication tools for making and taking phone calls, sending and receiving text messages, and other communication operations. Each of the following three years is expected to see a 30% to 35% increase in sales for TWLO. Twilio is expected to become quite profitable next year.

TWLO has the numbers to collaborate its optimistic outlook. Like DOCN, it has bested analysts’ earnings projections for the last four consecutive quarters. Its last report impressively beat Wall Street’s EPS expectations by 8.98% and revenue predictions by 9.53%TWLO also shows a healthy revenue growth (year-over-year) of 53.76%, and analysts’ forecasts for both annual and quarterly EPS and revenue look strong. TWLO currently shows $862.5 million in sales until reporting again soon. TWLO has a consensus price target of 300.00 among the analysts who have provided 12-month price estimates, with a high of 550.00 and a low of 240.00The median estimate is up 106.48% from current pricing, and the consensus among analysts also gives TWLO a robust buy rating that we should keep in mind.


Shopify Inc (SHOP)

Likely the most well-known on this list, Shopify (SHOP) is a cloud-based commerce platform that caters to small and medium-sized enterprises. Merchants utilize its software to operate their businesses across all sales channels, including online, tablet, mobile storefronts, social network storefronts, and physical and pop-up stores. Merchants may manage items and inventory, handle orders and payments, create customer connections, and use analytics and reporting on SHOP‘s platform, which gives them a single view of their business and customers. It is mainly concerned with merchant and subscription solutions. Tobias Albin Lütke, Daniel Weinand, and Scott Lake started SHOP on September 28th, 2004, based in Ottawa, Canada.

Financially, SHOP shows strong fundamentals. Out of their last four earnings report, they had one miss, but for the most part, SHOP has impressed Wall Street by outperforming their expectations. SHOP beat EPS projections by 4.52% and revenue predictions by 2.86% on their most recent earnings reportSHOP shows year-over-year revenue growth of 41.14%. SHOP’s current quarter shows us $1.2 billion in sales, with an EPS of 71 cents per shareAnalysts expect 31% revenue growth this year, 33% growth in 2023, and 37% growth in 2024SHOP has a consensus price target of 882.20, with a high estimate of 1,500.00 and a low estimate of 660.00 among analysts who have provided 12-month price estimates. The consensus projection reflects a 45.66% rise from its previous price, and SHOP has earned a sturdy buy rating that shouldn’t be overlooked.