Welcome to the world of FUD -- fear, uncertainty, and doubt. We've had years of the economy and the stock market seemingly going nowhere but up (although if you look closely, that wasn't always the case.) But now, there are worries that skyrocketing inflation could lead to a recession. The stock market is highly volatile. Many of the high-flying growth stocks from the past few years have been hammered especially hard.
There's a word that I think best describes our current environment: opportunity. History shows that the periods where FUD prevailed turned out to be great times for investors with long-term mindsets to put their money to work.
And there are plenty of ways you can invest successfully for the long term. Here are three top growth stocks I'd buy right now without any hesitation.
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1. Intuitive Surgical
Intuitive Surgical (ISRG 0.32%) stands out in my view as an ideal growth stock to buy even during these tumultuous times. The company is the undisputed leader in the robotic surgery market. And the market should have explosive growth potential.
Since Intuitive's da Vinci system was launched in 2000, more than 10 million procedures have been performed with robotic assistance. Over 1.5 million of those procedures were performed worldwide last year. But consider that more than 48 million surgical procedures are done each year in the U.S. alone. This volume should increase over the next few decades, due to an aging population.
Granted, Intuitive's technology can't be used in all of these procedures yet. However, the company believes that there are nearly four times as many procedures that it can target with its current instruments and regulatory clearances.
Intuitive Surgical's success has attracted competition. My view, though, is that the company's tremendous head start and extensive track record give it a significant edge over its rivals. I also think that the robotic surgical systems market will be large enough to support multiple winners. Intuitive Surgical is likely to be the biggest winner of all.
2. MercadoLibre
MercadoLibre (MELI 0.94%) is another growth stock that's in the early innings of capitalizing on its opportunity. The company ranks as a leader in the Latin American e-commerce market and is sometimes referred to as the "Amazon.com of Latin America."
Just how big is MercadoLibre's opportunity? In 2021, the e-commerce penetration rate in Latin America was around 9%. It's expected to jump to 16% by 2025 and continue rising after that.
MercadoLibre is also one of the best fintech stocks. The company's Mercado Pago digital payment platform is shaking up the status quo in Latin America, where many people don't use traditional banking services.
Shares of MercadoLibre have fallen more than 50% below their peak in September 2021. As a result, the company's market cap now stands at close to $45 billion. I believe that MercadoLibre's long-term prospects in e-commerce and fintech should enable it to grow much larger by the end of this decade.
3. Teladoc Health
Few sell-offs have been more overdone than that of Teladoc Health (TDOC 1.20%), in my opinion. Shares of the virtual-care provider have plunged more than 70% since the first quarter of 2021. But Teladoc continues to have exceptionally strong growth prospects.
The company estimates that it has a $75 billion annual revenue opportunity within its existing membership base. That's right -- Teladoc theoretically wouldn't need to add any new corporate clients to grow its revenue by more than 35 times.
Teladoc's total addressable market tops $260 billion in the U.S. alone. International opportunities would increase that total. And Teladoc has a strong and growing presence outside of the U.S.
Do I expect Teladoc to capture all of this market? No. However, the company only has to carve out a tiny fraction of its potential market to deliver sizzling growth.
Using virtual care makes sense: It's cost-effective and convenient. Teladoc is the clear leader in the market. The company's innovation should enable it to retain the top spot. I think that Teladoc is an unstoppable stock at an unbelievable bargain.
