Are you an investor looking for stocks that could shoot higher in 2023? If so, there are a handful of beaten-down growth stocks that Wall Street analysts think you should consider.

Consensus price targets on these three growth stocks suggest they can deliver gains between 44.1% and 52.1% once the rest of the stock market sees them the same way they do. Here's why they're so optimistic.

Smart investment banker on Wall Street.

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Shares of Doximity (DOCS -0.64%) soared following its IPO in 2020, but the stock has collapsed 74% from the peak it reached in 2021. Investment bank analysts tasked with following the company expect it to quickly regain some of its former glory. The average price target on Doximity right now implies a 51.5% gain up ahead.

Doximity operates a social media application geared specifically toward physicians and other healthcare professionals. Physicians can't upload their own posts in an attempt to go viral. Instead, Doximity keeps them coming back with a curated news feed and tools that make their jobs easier. For example, Doximity Dialer allows physicians to easily contact patients from their personal devices in a setting that complies with strict privacy laws.

Investment bank analysts are optimistic about Doximity stock because it's already benefiting from a strong network effect. Doximity's membership roster includes more than 80% of U.S. physicians.

Analysts are especially encouraged by the relatively young company's ability to scale. Doximity reported net income that worked out to 25% of total revenue during the three months that ended June 30, 2022. Without any serious competitors on the horizon, investors can look forward to steadily growing cash flows for many years to come.


DigitalOcean (DOCN 1.27%) shares soared following its stock market debut in 2021. Like most high-growth companies that lack strong profit margins, shares of DigitalOcean have fallen hard in 2022.

DigitalOcean has tumbled 72% from its peak last year but analysts on Wall Street think it can quickly make up some of those losses. The average price target on this stock could shoot 44.1% higher.

DigitalOcean mostly provides cloud-based infrastructure as a service (IaaS) to individuals and small-to-medium-sized businesses (SMBs). Analysts are pounding the table on this stock because every year millions of new developers and SMBs begin shopping for IaaS services.

Unlike its giant cloud-service competitors, AmazonAlphabet, and Microsoft, DigitalOcean allows developers to build and deploy new apps for free and then pay for usage. Over time, many of those free-built apps begin generating revenue. In the second quarter, there were 105,000 customers spending over $50 per month. That was 16% more than during the previous year's period.

SoFi Technologies

Shares of SoFi Technologies (SOFI 0.11%) soared following its stock market debut in 2020 but the good times didn't last long. Shares of the all-digital bank have fallen around 79% from their peak in early 2021.

Investment bank analysts who follow SoFi Technologies expect it to quickly recover some of its recent losses. The consensus price target on SoFi stock is 52.1% above its latest closing price.

SoFi got started around 10 years ago by refinancing student loans. Now it offers checking, savings, and retirement accounts and uses deposits to fund a wide array of consumer lending products that include auto loans and mortgages. 

Analysts who follow SoFi are bullish about the long-term effects higher interest rates will have on profitability. The company raised the rate its members receive on checking and savings deposits this year but the rates on lending products will rise a little bit faster. With a wider net interest margin the company's bottom line, and its stock price could rocket higher in the years to come.