The latest economic data points to continued progress in battling high inflation. The stock market has liked what it's seen, responding by chugging higher. Investors love higher stock prices, but they can make finding a good deal on Wall Street more challenging.
However, fear not. Some fabulous growth stocks are still trading at attractive prices today. Here are four of them you can consider right now.
1. MercadoLibre
NASDAQ: MELI
Key Data Points
Latin American e-commerce giant MercadoLibre (MELI +1.82%) is well on its way to generating similar life-changing investment returns for investors that Amazon already has. The stock is up more than 5,000% over its lifetime.
And the fiesta could continue. The company is growing quickly across multiple segments, including e-commerce, financial services, logistics, and advertising. Today, it is doing more than $13 billion in annual revenue, which grew by 69% year over year in the third quarter. Analysts believe MercadoLibre can increase earnings by 41% annually over the long term.
MELI revenue (quarterly YoY growth) data by YCharts; YoY = year over year; EPS = earnings per share.
So, why buy the stock now? Shares trade at a forward price-to-earnings (P/E) of 68, which is reasonable if earnings can grow as fast as analysts believe. Latin America is home to more than 650 million people and is less technologically mature than America. More than 30% of the region's population still needs internet access.
Patient investors can benefit from buying and holding this proven winner, poised for years of growth ahead.
2. Roku
NASDAQ: ROKU
Key Data Points
After surpassing cable as the most-watched viewing platform in the United States, streaming seems like the future of television. Roku (ROKU +3.86%) has become a formidable competitor in this space.
From dongle devices to Roku-branded smart TVs, it has amassed almost 76 million active accounts. The company makes most of its money by selling advertisements to its viewers across its platform. Total annual revenue exceeds $3 billion.
ROKU revenue (TTM) data by YCharts; TTM = trailing 12 months, YoY = year over year.
The advertising industry slowed after the pandemic, but you can see above that revenue growth has bounced back since earlier this year. Today, the stock trades at a price-to-sales (P/S) ratio of just 3.9, near its cheapest valuation historically.
Meanwhile, Roku is expanding internationally. It's the leading TV operating system in Mexico and is forming partnerships to expand further in Latin America and Europe. As growth rebounds, the future seems too bright to leave Roku off your radar any longer.
3. Hims & Hers Health
NYSE: HIMS
Key Data Points
Healthcare is infamously complicated but is such a large industry that it will probably keep attracting new competitors. Hims & Hers Health (HIMS +6.78%) might have cracked the code.
Despite its recent founding in late 2017, the consumer-focused telehealth company has already ramped up to nearly $800 million in annual sales. Hims & Hers is winning by providing direct-to-consumer healthcare products wrapped in convenient technology and appealing branding. Some could argue it's not a moat, but the company's stellar results refute that theory.
HIMS revenue (TTM) data by YCharts.
Strong revenue growth and gross margins exceeding 80% have turned the business cash-flow-positive. And the company can grow through expansion into new categories.
It started with discreet issues like sexual health but is launching heart-health and weight-management products. The stock trades at a P/S ratio of 2 -- near its lowest on record -- so the buying window is wide open for long-term believers.
4. CAVA Group
You might have grown up with greasy fast-food chains dominating the market, but Chipotle Mexican Grill paved the way for a fresher alternative that still offers consumers value and great flavors. CAVA Group (CAVA +3.88%) could follow in those footsteps. The vibrant restaurant chain serves quick and tasty Mediterranean food through its network of 290 stores in the United States.
CAVA revenue (TTM) data by YCharts.
Investors should remember how young CAVA's story still is. The company lacks a meaningful footprint outside of the Southeastern United States. To put it in perspective, Chipotle has over 3,300 stores and is still expanding.
In other words, CAVA could grow from opening stores for years. The stock's market cap is still just $4 billion, and shares have slid to the low end of their 52-week range. Management must successfully guide this young company through years of expansion, but the stock could reward long-term investors willing to hold through years of expansion efforts.
