Motley Fool investors may cringe when they hear the term “growth stocks.” Many of us were spurned during the recent market correction. After a huge fall during the 2020 stock market crash, we flocked to growth stocks in droves. But now, it’s coming back to bite us.
But for how long?
Growth stocks come and go, but some could continue growing for decades. Today, I’m going to focus in on three that Motley Fool investors should consider.
Lightspeed Commerce
Motley Fool investors should look at Lightspeed Commerce (TSX: LSPD)(NYSE: LSPD) even as it trades near 52-week lows. Despite the fall in share price, it’s a strong company that’s now in acquisition mode. Furthermore, revenue is climbing even as e-commerce drops. Why? Because pandemic restrictions are lessening, and retail and restaurant revenue continues to climb from point-of-sale systems.
This makes Lightspeed stock one of the first tech stocks I would consider. It has multiple revenue streams and is now in countries around the world. While it may not be the largest e-commerce stock out there, it certainly is one of the most diverse. So it’s likely the company could come back strong, not just in the next year, but for decades to come.
Lightspeed stock trades at 0.9 times book value, with shares down 47.61% year-to-date. It currently has a consensus analyst target of $60, a potential upside of 131% as of this writing.
WELL Health
I also like WELL Health Technologies (TSX: WELL) for Motley Fool investors. Its shares are also down significantly, but honestly due to no fault of the company. In fact, it’s a cash flow cow that continues to find new ways of bringing in acquisitions.
Yet again, due to the fall in tech stocks and the easing of pandemic restrictions, WELL Health stock fell in share price. However, the company continues to see incredible year-over-year growth in every respect. And analysts believe this will continue to happen, only lowering target prices due to market conditions.
Bottom line, digital healthcare is too cheap, easy, and accessible for governments to ignore. As WELL Health stock expands, it’s likely to continue seeing shares rise. It could be one of the growth stocks that makes millionaires out of a generation.
WELL Health stock trades at 1.2 times book value with shares down 31% year-to-date. It has a consensus target price of $8.58, a potential upside of 153% as of writing.
Dye & Durham
Finally, the third growth stock to consider is Dye & Durham (TSX: DND). There were a few things that weighed on this tech stock at the beginning of the year. The company swore it wouldn’t increase prices, and then just about tripled them, irking analysts and clients alike. But this was before inflation hit, and now the company’s methods seem pretty reasonable.
Furthermore, Dye & Durham stock is a great play in terms of stable income. It provides software services to governments, financial institutions, law firms, and other core businesses that frankly aren’t going anywhere. That means Dye & Durham stock isn’t going anywhere either.
With the company trading at 1.7 times book value and shares down 58% year-to-date, it could be a great long-term hold. Especially with the consensus target price at $42.50, a potential upside of 126% as of writing.
