Growth investing can help you quickly build wealth in the stock market. If you can identify strong, competitively advantaged companies that are poised to benefit from powerful long-term trends, you could easily double your money in several years' time.
The following three growth stocks can help you earn these types of fortune-building returns.
These growth stocks can make you a lot of money. Image source: Getty Images.
PayPal
The relentless growth of e-commerce around the world is one of the most powerful megatrends that you could invest in. And one company -- PayPal (PYPL 1.62%) is particularly well-positioned to help its investors profit.
The coronavirus pandemic is accelerating the growth of online retail. With so many of us forced to remain indoors because of stay-at-home orders, more people are buying online more often than ever before.
PayPal helps to make the online shopping experience easier, faster, and more secure. With just a few clicks, its One Touch payments solution allows shoppers to quickly buy items without having to enter their credit card information, email, or password. This makes it very popular with online shoppers. And merchants love it, because it helps to make the online checkout process more convenient, thereby helping to boost sales.
PayPal added more than 20 million new customer accounts in the first quarter alone -- or a still-robust 10 million, when you factor out its acquisition of discount-seeking browser add-on Honey. That helped drive revenue higher by 12%, to $4.6 billion. PayPal's second quarter is also off to a strong start, with revenue growth accelerating to 17% in April as more people shopped online during the pandemic.
PayPal is one of the rare companies that stand to benefit from the COVID-19 crisis, and it can help you protect and grow your wealth during these difficult times.
DocuSign
Electronic agreement technology -- which makes it possible for businesses to prepare, sign, and store contracts digitally via the internet -- was already enjoying rapid adoption before the COVID-19 pandemic, thanks to its convenience, cost savings, and security benefits compared to paper-based documentation systems. This trend is only likely to accelerate now that companies all over the world are implementing social distancing measures to combat the spread of the novel coronavirus.
As the global leader in e-signature technology, DocuSign (DOCU +0.20%) is particularly well-positioned to benefit from this trend. DocuSign expects its revenue to rise roughly 30%, to nearly $1.3 billion, in the year ahead. And with face-to-face meetings likely to remain limited for the foreseeable future, demand for DocuSign's offerings should remain elevated.
Salesforce
Like DocuSign, Salesforce.com (CRM 1.63%) makes it easier for companies to conduct business digitally. Sales of its popular cloud-based customer relationship management software continue to grow at an impressive clip, and demand should rise further as more businesses shift their operations to the cloud to better support employees working from home.
Acquisitions have also helped Salesforce become a leader in other fast-growing enterprise software categories, such as data integration and analytics. The software giant excels at integrating new cutting-edge technologies -- such as artificial intelligence and machine learning -- into its platform, which allows it to constantly expand its already massive addressable market. In all, Salesforce pegs its current market opportunity at a staggering $168 billion. That leaves plenty of room for expansion for this software star, which grew its revenue by 29%, to $17 billion, in its most recent fiscal year.
