Economists around the world are expecting muted U.S. economic growth in coming quarters, and some are still calling for a mild U.S. recession. It may become difficult for investors to find reliable growth stocks to buy if interest rates remain at 23-year highs for much longer.
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Nevertheless, growth stocks have outperformed value stocks since the beginning of 2023, and investors are anticipating that trend will continue when the Federal Reserve pivots to rate cuts. Here are 10 of CFRA analysts’ top growth stocks that have reported at least 15% annual revenue growth in the past three years:
| Stock | Implied Upside* |
| Nvidia Corp. (ticker: NVDA) | 17.9% |
| Alphabet Inc. (GOOG, GOOGL) | 22.6% |
| Meta Platforms Inc. (META) | 25.8% |
| Tesla Inc. (TSLA) | 4.5% |
| JPMorgan Chase & Co. (JPM) | 9.6% |
| Exxon Mobil Corp. (XOM) | 12.0% |
| Mastercard Inc. (MA) | 21.7% |
| Chevron Corp. (CVX) | 21.3% |
| Advanced Micro Devices Inc. (AMD) | 31.9% |
| Salesforce Inc. (CRM) | 21.1% |
*As of July 19 close.
Nvidia Corp. (NVDA)
High-end semiconductor maker Nvidia has been one of the most spectacular growth stories in the entire stock market in the past 15 years. Nvidia’s growth numbers have wowed Wall Street, especially for a company of Nvidia’s size. Nvidia’s revenue grew 262% year over year in the fiscal first quarter, while its net income skyrocketed by 628%. Analyst Angelo Zino says Nvidia has growth opportunities in several cutting-edge markets, including software, artificial intelligence and edge devices. He projects 98% revenue growth in fiscal 2025 and 23% growth in 2026. CFRA has a “buy” rating and $139 price target for NVDA stock, which closed at $117.93 on July 19.
Alphabet is one of the world’s largest online search and advertising companies and is the parent company of Google and YouTube. In the first quarter, Alphabet reported 15% revenue growth, which included 28% Google Cloud revenue growth. Zino projects Alphabet can maintain double-digit annual revenue growth through at least 2025. He says Alphabet has opportunities to integrate AI technology into its Search and YouTube businesses and add Gemini and other AI tools into its cloud services offerings. He says the cloud business will continue to support overall growth. CFRA has a “buy” rating and $220 price target for GOOGL stock, which closed at $179.39 on July 19.
Meta Platforms Inc. (META)
Meta Platforms is a market leader in social media and online advertising and is the owner of Facebook, Instagram and other platforms. Meta has regained its growth groove, reporting an impressive 27% revenue growth in the first quarter. Zino projects at least $45 billion in free cash flow for Meta in 2024 and at least $50 billion in 2025. In addition, he says the company can maintain double digit earnings per share growth supported by AI technology integration. He projects 14% revenue growth in 2024. CFRA has a “buy” rating and $600 price target for META stock, which closed at $476.79 on July 19.
Tesla Inc. (TSLA)
Tesla is the leading U.S. electric vehicle manufacturer. Unfortunately, Tesla’s revenue dropped 9% year over year in the first quarter, including a 13% decline in automotive segment revenue growth. Analyst Garrett Nelson says the ramp-up of Cybertruck deliveries and the opening of new factories in Germany and Texas have set the stage for the next era of Tesla’s growth in 2024 and beyond. He projects revenue growth will rebound from 4% in 2024 to 24% in 2025. Nelson anticipates production of Tesla’s next-generation platform could begin in 2025. CFRA has a “buy” rating and $250 price target for TSLA stock, which closed at $239.20 on July 19.
JPMorgan Chase & Co. (JPM)
JPMorgan Chase is one of the world’s largest banks and financial services companies with roughly $3.8 trillion in assets. In 2023, JPMorgan acquired First Republic Bank after it failed during the regional banking crisis and was seized by the Federal Deposit Insurance Corporation, or FDIC. JPMorgan has reported consistent double-digit revenue growth in recent quarters. Analyst Kenneth Leon says JPMorgan is gaining market share from competitors in most of its key business segments, and he projects 19% revenue growth and 13.6% EPS growth in 2024. CFRA has a “buy” rating and $230 price target for JPM stock, which closed at $209.78 on July 19.
Exxon Mobil Corp. (XOM)
Exxon Mobil is the largest U.S. oil major. Oil majors aren’t traditionally considered high-growth stocks, but favorable energy market conditions in recent years have made oil stocks some of the highest-growth companies in the market. Exxon reported a 3.4% year-over-year drop in revenue in the first quarter, but Exxon’s 2023 revenue was still up about 90% on a three-year basis. Analyst Stewart Glickman says Asia will be a global oil demand driver and development of Exxon’s Permian Basin and Guyana properties should boost Exxon’s production. CFRA has a “buy” rating and $130 price target for XOM stock, which closed at $116.07 on July 19.
[READ: 7 of the Best Growth Funds to Buy and Hold]
Mastercard Inc. (MA)
Mastercard is one of the world’s largest credit card and payments providers. In the first quarter, Mastercard reported 11% revenue growth, 28% net income growth and 10% gross dollar volume growth. Analyst Alexander Yokum says Mastercard’s outsized exposure to international markets will help the company continue to outgrow its competitors in both earnings and revenue. Yokum projects steady 13% revenue growth for Mastercard in both 2024 and 2025. He projects payment volume growth will significantly outpace consumer spending growth as the global transition to digital payments continues. CFRA has a “buy” rating and $540 price target for MA stock, which closed at $443.69 on July 19.
Chevron Corp. (CVX)
Chevron is a global oil major that operates exploration and production, refining and marketing and petrochemical businesses. Like Exxon, Chevron’s growth numbers haven’t been particularly impressive in recent quarters. However, the company’s 2023 revenue was up 112% on a three-year basis. Glickman says Chevron’s pending acquisition of Hess Corp. (HES) will improve the company’s long-cycle oil exposure, assuming Chevron gets a favorable arbitration outcome. He says Chevron has several catalysts ahead by 2025, including in the Permian Basin, DJ Basin and deepwater Gulf of Mexico regions. CFRA has a “buy” rating and $193 price target for CVX stock, which closed at $159.15 on July 19.
Advanced Micro Devices Inc. (AMD)
Shares of microprocessor and graphics semiconductor stock Advanced Micro Devices are up a whopping 3,710% over the past decade. AMD reported 2% revenue growth and an impressive 188% net income growth in the first quarter. Even after the stock’s big run, Zino says AMD has more growth and more upside ahead. Graphics processor unit sales and the ramp-up of AMD’s next-generation EPYC data center central processing units will help drive that growth. In addition, Zino says AMD will likely continue to improve its balance sheet, reducing risk. CFRA has a “buy” rating and $200 price target for AMD stock, which closed at $151.58 on July 19.
Salesforce Inc. (CRM)
Salesforce is the world’s largest provider of cloud-based customer relationship management (CRM) software. In addition to its organic growth, Salesforce has grown via a string of acquisitions in recent years, including its 2020 buyout of Slack. Salesforce reported 11% revenue growth and 670% net income growth in the first quarter. Zino says Salesforce has potential for further market share gains. Revenue growth has slowed, but Zino projects Salesforce can continue to grow annual revenue in the 7% to 9% range through at least fiscal 2027. CFRA has a “strong buy” rating and $300 price target for CRM stock, which closed at $247.63 on July 19.
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10 Best Growth Stocks to Buy for 2024 originally appeared on usnews.com
Update 07/22/24: This story was previously published at an earlier date and has been updated with new information.
