Growth stocks can be very attractive companies to hold in an investment portfolio because of the potential returns they could generate. When choosing growth stocks to hold in a portfolio, it’s important that investors ensure that they’re well-versed in what the company does and the risks associated with those stocks. Growth stocks tend to experience many more hurdles and roadblocks than established companies (e.g., dividend stocks).
It’s also a good idea to think about what stocks have a long growth runway ahead. For instance, don’t look for stocks that may be peaking in popularity today. If the industry that a stock operates in is still in its early stages, and there appears to still be tons of growth opportunities ahead, then you should prioritize those stocks over others.
In this article, I’ll discuss two growth stocks that investors should consider buying today for a once-in-a-decade opportunity to get rich.
Invest in the e-commerce industry
If I could only choose to invest in one industry for the next 10 years, it’d be the e-commerce industry. This space has been growing at breakneck speeds over the past few years, and it’s expected to continue through to at least 2030. Prior to the COVID-19 pandemic, e-commerce sales had slowly grown year over year. However, because of the pandemic, consumers had to become much more familiar with this way of shopping much quicker.
Exiting the pandemic, companies like Shopify (TSX:SHOP) emerged as clear winners in the global e-commerce space. Despite experiencing a drop of more than 80% in Shopify stock between November 2021 and September 2022, Shopify appears to be bouncing back and as strong as ever. In the first quarter of 2023, Shopify reported US$1.5 billion in revenue. That represents a 25% year-over-year increase. As long as it’s led by its founder Tobi Lütke, I would be happy to continue adding to my Shopify position for years.
The healthcare space is changing
The telehealth industry is probably one of the next best areas to invest in over the next few years. On a global scale, this industry remains largely unproven and underdeveloped. That means it’s ripe for disruption. That may be why companies like WELL Health (TSX:WELL) have been working hard to establish themselves in this industry over the past few years.
For those that are unfamiliar, WELL Health provides omnichannel patient and virtual services. The company also operates an online marketplace where healthcare professionals can acquire digital solutions that can help them bolster their own telehealth offerings.
Like other growth stocks, WELL Health struggled between 2021 and 2022. The stock fell about 70%. However, the stock has bounced back very well since the start of the year, gaining nearly 75%. If WELL Health can continue to expand its offerings and geographic footprint, then this could be a massive winner over the next decade. I think all growth investors should at least consider this stock for their portfolio.
