3 High-Growth Stocks That Could Double Your Money in 5 Years

Given their solid underlying businesses and excellent growth prospects, these three high-growth stocks could double your money over the next five years.

| More on:
potted green plant grows up in arrow shape

Image source: Getty Images

Growth stocks can potentially increase their financials at a superior rate than the industry average, thus producing higher returns. However, these companies require higher capital to fund their growth initiatives. So, the concerns that higher interest rates would increase borrowing costs and the fear of an economic slowdown have put these companies under pressure over the last few months.

Meanwhile, with the central bank pausing its interest rate hikes and signs of inflation cooling down, growth stocks are back on investors’ radar this month. These stocks have witnessed healthy buying so far this month. Amid improving investors’ sentiments, these three growth stocks look an excellent buy. The stock should deliver above 15% of an annualized rate of returns over the next five years to double your investments. The following three stocks have the potential to provide these returns.

WELL Health Technologies

WELL Health Technologies (TSX:WELL) is a tech-enabled healthcare company focusing on developing technologies that empower healthcare professionals to have positive patient outcomes. Earlier this month, it posted a solid third-quarter performance, with its revenue and adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) to its shareholders growing by 40.2% and 13.2%, respectively.

The company focuses on developing innovative products and making strategic acquisitions to drive growth. It has launched several AI (artificial intelligence) power products that are useful to healthcare professionals. It also acquired Proack Security last month, strengthening its capabilities to safeguard sensitive data while providing robust security services. Amid these growth initiatives, the company raised its 2023 guidance, with its revenue projected to come between $755 million and $765 million. The midpoint of the guidance represents a 33.5% year-over-year growth.

Further, WELL Health’s management is confident of reaching $900 million in sales next year. Despite its healthy growth prospects, the company trades 13.4 times its projected earnings for the next four quarters, making it an attractive buy.


Another top growth stock to have in your portfolio would be Nuvei (TSX:NVEI), which facilitates its partners to accept next-gen payment methods, thus driving their growth. The company posted an impressive third-quarter performance earlier this month, with its revenue and adjusted EBITDA growing by 55% and 36%, respectively. It processed  $48.2 billion of transactions during the quarter, representing a 72% year-over-year growth.

Meanwhile, Nuvei is focusing on developing innovative products, strengthening its position in new markets, and expanding its APM (alternative payment methods) portfolio, which could aid in increasing its customer base and drive the wallet share of its existing customers. Meanwhile, the company’s management hopes to grow its topline at an annualized rate of 15-20% in the medium term while increasing its adjusted EBITDA margin to over 50% in the long run.

Further, the fintech company trades at an attractive NTM price-to-earnings multiple of 10.3, making it an attractive buy.


My final pick is a subprime lender, goeasy (TSX:GSY), which has grown its revenue and adjusted EPS in double digits for the last 20 years. Despite its solid growth over these years, the company has acquired a tiny market share in the $200 billion subprime market, thus offering healthy growth prospects.

Meanwhile, the company has enhanced its underwriting and income verification process, adopted next-generation credit models, and tightened its credit tolerance to lower default rates. Its diversified product base, omnichannel offerings, and cross-selling opportunities could continue to drive its financials in the coming years. Amid these growth initiatives, the company’s management expects its loan portfolio to reach $5.1 billion by the end of 2025, indicating a 48.7% growth from its September 30th levels. Also, its revenue could grow at an annualized rate of 18.5% while delivering a return on equity of over 21% annually.

The subprime lender has rewarded its shareholders by raising its dividend at an annualized rate of over 30% for the previous nine years. Its forward yield stands at 2.95%. Considering all these factors, I believe goeasy will deliver superior returns over the next five years.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Rajiv Nanjapla has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nuvei. The Motley Fool has a disclosure policy.

More on Investing


Got $5,000? Buy and Hold These 3 Value Stocks for Years

Given their solid underlying businesses, healthy growth prospects, and attractive valuation, I am bullish on these three value stocks.

Read more »

money cash dividends
Stocks for Beginners

Got $1,000 to Invest in Stocks? Put It in This Index Fund

This low-cost beginner-friendly ETF is a great way to invest $1,000.

Read more »

Overhead shot of young adults using technology at a table
Tech Stocks

3 Cheap Tech Stocks to Buy Right Now

Given their long-term growth prospects and discounted stock prices, I am bullish on these tech stocks.

Read more »

money cash dividends
Dividend Stocks

Have $500? 2 Absurdly Cheap Stocks Long-Term Investors Should Buy Right Now

Want some absurdly cheap stocks for your portfolio? Here are two options trading at a huge discount right now.

Read more »

Gas pipelines
Dividend Stocks

TFSA Passive Income: Is Enbridge Stock a Buy, Sell, or Hold?

Enbridge now offers a yield near 8%. Is the dividend safe?

Read more »

A worker uses the cloud for paperless work. tech
Tech Stocks

Wanna Beat the Market? Try These 2 Tech Stocks That Look Undervalued Today

Here's why undervalued TSX stocks such as Vitalhub can help you generate outsized gains in the next 12 months.

Read more »

Redwood trees stretch up to the sunlight.
Tech Stocks

These 3 Magnificent Stocks Keep Driving Higher

Constellation Software, Dollarama and another TSX stock have consistently generated positive investment returns. Here’s why they belong in your retirement…

Read more »

sale discount best price
Dividend Stocks

3 Stocks to Buy While They Are on Sale

Top TSX dividend stocks are trading at discounted prices.

Read more »