One of the most straightforward ways that people can build long-term wealth is by investing in the stock market. And while the task of picking which individual stocks you want to buy can be daunting, a simple approach is often the best. If you can find a company that offers both a history of strong growth and bright prospects, trading at an attractive valuation, you've got a stock with the key ingredients to provide a patient investor with solid returns. 

If you're ready to invest $1,000, then The Joint Corp. (JYNT 2.18%) is just such a company -- a booming business that has experienced a 77% share price drop this year. 

The Joint Corp. is disrupting the chiropractic industry 

The Joint Corp. franchises, manages, and operates a chain of chiropractic clinics across the U.S., and it's completely upending the business model in its healthcare niche. Traditionally, to see a chiropractic practitioner, patients with back pain have had to schedule appointments in advance, and the prices could be prohibitive for those without insurance or whose policies don't cover that form of care. At locations run by The Joint Corp., people can walk in during more expanded hours, and they don't need medical insurance coverage for their treatments. 

The company's locations provide basic back adjustments by licensed chiropractors, but leave more complex conditions to traditional chiropractic offices. A patient can be in and out in as little as five minutes, with an average cost per visit of $33 -- far more affordable than the $64 per visit traditional clinics charge on average. 

Because The Joint Corp. locations don't need expensive equipment (only benches to treat patients) or administrative staff to handle the complex insurance billing process, their operating costs are low. The average cost to open a Joint Corp. clinic is $300,000, and according to the company, in the third year of operations average annual revenue eclipses $500,000. And in year four, their average operating margin exceeds 30%. 

The Joint Corp. has huge growth potential 

By making affordable chiropractic care more accessible and convenient, The Joint Corp. has grown tremendously over the past decade. At the end of 2012, it had just 26 locations. As of March 31, it had 736. Systemwide, its sales have skyrocketed from $2.8 million in 2011 to nearly $100 million in just the first three months of this year. 

Even when the pandemic forced many retail-based businesses to temporarily close, The Joint Corp. still posted solid growth. And its momentum remains strong. In the first quarter, same-store sales jumped 15% year over year. Furthermore, in 2021, this healthcare business treated 807,000 new patients, up from 584,000 in 2020.

Management is incredibly optimistic about The Joint Corp.'s prospects. Not only does the leadership team, led by CEO Peter Holt, believe that the company can reach 1,000 locations by the end of 2023, but they see the potential for it to operate 1,950 clinics in the U.S. alone over the long term. That's up from a prior target of 1,800. 

The Joint Corp.'s ambitions are supported by the fact that the domestic chiropractic market is extremely fragmented. In the U.S., there are more than 40,000 independent chiropractic offices with total annual sales of roughly $17.9 billion. The Joint Corp. only accounted for about 2% of that revenue in 2021, so its expansion potential is massive. 

Valuation isn't demanding 

After its stock peaked at $107.30 per share in September 2021, The Joint Corp. has cratered. Although it keeps opening more clinics at a rapid pace and continues posting outstanding revenue growth, the shares are now down by 86%, giving it a market capitalization of just $214 million.

Shares currently trade at a price-to-sales multiple of 2.6, which is far lower than its five-year historical average of 6.6. It has posted two straight quarters of net losses -- after being profitable for 12 consecutive quarters -- which is probably what investors are most concerned about now. 

But it's important to understand that this company is still scaling and is fully in growth mode. Therefore, investors shouldn't judge The Joint Corp. based on net income in any given period. Instead, it's best to focus on the company's ongoing store growth and market share gains. 

Investing $1,000 in The Joint Corp. stock today could pay off handsomely for patient investors.