Tesla (TSLA 0.21%) was the quintessential hypergrowth stock for much of the last decade or more. But recently, it has entered a period of stagnancy. Its overall revenues have been flat to down since the end of 2023, and its operating income has slumped by more than half in the last few years.
Global unit sales volumes for its electric vehicles have stopped growing. At the same time, the company is trying to pivot its focus to autonomous vehicles and humanoid robots, but has struggled to gain much traction in either space. It may be many years before those new business lines have a true impact on Tesla's bottom line.
With this in mind -- and with Tesla's $1 trillion market cap as of this writing -- investors may be smart to avoid buying the stock right now. Here are two other potential millionaire-maker stocks you may want to consider adding to your portfolio instead.
NASDAQ: TSLA
Key Data Points
An opportunity in global money transfers
Remitly Global (RELY 0.39%) has grown impressively over the last few years. Through its mobile application, lower fees, and a better customer experience than is offered by rival services, it has begun to gain market share within the remittance space, which covers international money transfers.
Last quarter, its active customers grew 21% year over year to 8.9 million, revenue grew 25% to $420 million, and the business generated positive net income. Over the next few years, management expects total revenue to about double to $3 billion, with $600 million in adjusted EBTIDA (earnings before interest, taxes, depreciation, and amortization). That level of expected earnings makes its current market cap of $2.85 billion look mighty cheap.
Some investors may shy away from Remitly because of the apparent threat that stablecoins pose to its business model, as, in principle, these cryptocurrencies allow people to more easily send money across borders freely. However, this runs into a speed bump when you have to convert stablecoins into local currencies, a process that always incurs costs. Investors are also wary of how the immigration crackdown in the United States will impact the market for cross-border remittances. The numbers so far don't show that as a cause for concern, however: Remitly's 2025 financials show no impact from stricter U.S. border and immigration policies. Moreover, there are still millions of immigrants in countries around the world who want to send money back home to their families, and that is not going to change anytime soon.
Given Remitly's market cap below $3 billion and its expectations to generate over $500 million in adjusted earnings a few years from now, investors would be smart to buy the stock today and hold it for the long haul. It might just make you a lot of money.
Image source: Getty Images.
A misunderstood entertainment giant
Another stock with a better setup than Tesla at the moment is Nintendo (NTDOY +1.39%). The entertainment company that has dominated family-friendly video games for decades just released a new device, the Nintendo Switch 2, that is selling faster than the original Switch did.
Total sales are up by close to 100% year over year through the first three quarters of its fiscal 2026, which ends in March. However, the stock is down due to rising computer chip prices and a lack of flagship video game titles for the Switch 2 so far.
It is unclear how long these high chip prices will last, but those make up only a small part of Nintendo's input costs, and they will eventually subside. On the games front, Nintendo is notoriously patient with its release schedule, but it has increased its total investment in game development in recent years, which will eventually lead to more flagship titles. There are likely more Mario, Animal Crossing, and Pokémon titles in development right now.
On top of games, Nintendo is releasing the sequel to its animated Mario Movie in April. The original did over $1 billion at the box office. Combined with its new theme parks around the world, Nintendo has many more ways to interact with its fans than it did a decade ago, which should lead to higher game sales and greater profits.
Today, Nintendo's market cap is $62 billion, but because of the huge amount of cash on its balance sheet, the company's enterprise value is well below $50 billion. As the Switch 2's player base continues to grow, annual earnings should reach well over $5 billion, if not significantly higher, within a few years. This makes Nintendo stock a bargain buy for investors looking to capitalize on the growth of the Switch 2.
