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My Take: 4 Strong Growth Stocks to Buy This Week

By Jose Najarro - Jun 28, 2021 at 11:00AM

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These four companies are in the following growing markets: e-commerce, gaming, and plant-based food.

In today's video I look at fundamentals, valuation metrics, and recent news for Activision (ATVI -0.21%), Pinduoduo (PDD -1.97%), Tattooed Chef (TTCF 12.52%), and MercadoLibre (MELI -0.97%). All four companies are in markets with growth potential and could perform well as long-term investments. Below I share a few highlights from the video. 

  1. MercadoLibre is a growth machine that reported 111.4% year-over-year (YOY) revenue growth and 61.6% YOY unique active user growth for the first quarter of 2021. 
  2. Even though all four companies have strong fundamentals, Activision is currently the best when you look at the trailing 12 months. It has positive cash flow from operations, profitable earnings, and a strong balance sheet with substantial cash and short-term investment compared to debt. 
  3. When you look at data for web searches of "plant-based diet," it shows a steady upward trend for the past five years. The data can be a bullish sign for Tattooed Chef as it expands its plant-based products through acquisitions and product development.

Click the video below for my full thoughts and analysis. 

*Stock prices used were the closed prices of June 25, 2021. The video was published on June 26, 2021. 

Jose Najarro owns shares of Activision Blizzard, MercadoLibre, Pinduoduo Inc., and Tattooed Chef, Inc. The Motley Fool owns shares of and recommends Activision Blizzard, MercadoLibre, and Tattooed Chef, Inc. The Motley Fool has a disclosure policy. Jose is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

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Stocks Mentioned

Mercadolibre, Inc. Stock Quote
Mercadolibre, Inc.
$1,024.81 (-0.97%) $-10.02
Activision Blizzard, Inc. Stock Quote
Activision Blizzard, Inc.
$80.49 (-0.21%) $0.17
Pinduoduo Stock Quote
$50.25 (-1.97%) $-1.01
Tattooed Chef, Inc. Stock Quote
Tattooed Chef, Inc.
$7.64 (12.52%) $0.85

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

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