Back in 2020 and 2021, many retail investors loaded up on speculative growth stocks at sky-high valuations. That buying frenzy was largely driven by stimulus checks, social media buzz, a fear of missing out, and the rise of commission-free trading platforms.
But in 2022 and 2023, many of those meme stocks collapsed as rising interest rates popped their bubbly valuations and drove investors toward more conservative blue chip stocks. In 2024 and 2025, that pressure eased as interest rates declined -- but only some of the top growth stocks bounced back. So instead of pouring all of your money into speculative stocks or conservative blue chip plays, it makes more sense to own both types of stocks across a diversified portfolio.
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So today, we'll discuss two of my favorite stocks that are still worth buying in this unpredictable market: the online real estate platform Opendoor (OPEN 7.02%) and the tobacco giant Altria (MO +1.76%). The former is a good speculative play for investors who can stomach a lot of volatility, while the latter is a stable evergreen stock.
The speculative play: Opendoor
Opendoor is America's top instant buyer (iBuyer) of homes. It uses its AI algorithms to make instant cash offers for homes, fixes up those properties, and relists them on its own platform. Its business flourished when interest rates were low and the housing market was hot, but it stalled out in 2022 and 2023 as skyrocketing interest rates ended the post-pandemic housing boom.
NASDAQ: OPEN
Key Data Points
In 2022, Zillow and Rocket's Redfin both shut down their own capital-intensive iBuying platforms and surrendered the market to Opendoor. That market dominance puts Opendoor in a great position to profit from the next housing boom, but it needs to resist a lot of short-term pain before it reaps bigger long-term gains.
Opendoor's revenue plunged 55% in 2023, dropped 26% in 2024, and analysts expect another 19% decline in 2025 as its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) stays negative for the fourth consecutive year. It notes that even though the Fed cut its benchmark rates five times from 2024 to 2025, mortgage rates are still stubbornly high and more sellers are pulling their properties off the market. It doesn't plan to ramp up its purchases of more homes until the housing market stabilizes.
Instead, it's focused on stabilizing its margins by expanding its ecosystem with higher-margin services, upgrading its AI pricing algorithms, pruning its workforce, and reducing its resale transaction costs and commissions. As the housing market warms up again, analysts expect its revenue to grow at a CAGR of 28% from 2025 to 2027. They also expect its adjusted EBITDA to turn positive by the final year as economies of scale kick in. With an enterprise value of $7.3 billion, it looks dirt cheap at 1.8 times next year's sales.
The blue chip play: Altria
Altria, the largest tobacco company in America, spun off its overseas business as Philip Morris International (PM +2.85%) in 2008. After that split, Altria planned to squeeze more profits out of its shrinking domestic business -- which struggled with declining smoking rates and a broad range of lawsuits -- as PMI expanded more aggressively in higher-growth overseas markets.
NYSE: MO
Key Data Points
At first glance, Altria might seem like a shaky investment because its core cigarette business -- which sells its flagship Marlboro cigarettes -- is consistently shrinking. Its annual shipments of cigarettes are declining, Marlboro's retail market share is shrinking, and it faces higher excise taxes across many states.
Yet Altria is still growing its earnings per share (EPS) by raising its cigarette prices, cutting costs, and executing multibillion-dollar buybacks. That's why its adjusted EPS still grew 2% in 2023 and 3% in 2024, even as its revenue (net of excise taxes) stayed nearly flat in both years. That strategy might not seem sustainable, but Altria is expanding its portfolio of smoke-free products -- including its On nicotine pouches and NJOY e-cigarettes -- to curb its dependence on traditional cigarettes.
It expects to generate $5 billion in smoke-free revenues by 2028, which would be equivalent to almost a quarter of its $20.4 billion in revenue (net of excise taxes) in 2024. It also plans to achieve at least $600 million in annual cost savings with its "Optimize and Accelerate" initiative over the next five years, and it recently initiated a fresh $1 billion buyback plan to boost its EPS. From 2024 to 2027, analysts expect Altria's adjusted EPS to grow at a CAGR of nearly 6% as those tailwinds kick in.
Altria's stock still looks like a bargain at 10 times next year's adjusted earnings, and it pays a hefty forward dividend yield of 7.3%. It's raised that payout every year since its split from PMI, and that high yield should limit its downside potential in the next market downturn.
