Economists around the world are expecting muted U.S. economic growth in coming quarters, and some still warn that a mild recession is possible. It may become difficult for investors to find reliable growth stocks to buy if elevated interest rates have a lagging negative impact on U.S. consumers.
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Nevertheless, growth stocks have outperformed value stocks since the beginning of 2023, and investors anticipate that trend will continue as the Federal Reserve cuts interest rates. Here are 10 of CFRA analysts’ top growth stocks that have reported at least 15% annual revenue growth in the past three years:
| Stock | Upside potential* |
| Nvidia Corp. (ticker: NVDA) | 19.8% |
| Alphabet Inc. (GOOG, GOOGL) | 34.5% |
| Meta Platforms Inc. (META) | 6.9% |
| JPMorgan Chase & Co. (JPM) | 8.9% |
| Exxon Mobil Corp. (XOM) | 17.1% |
| Mastercard Inc. (MA) | 13.7% |
| Advanced Micro Devices Inc. (AMD) | 15.4% |
| Salesforce Inc. (CRM) | 12.4% |
| American Express Co. (AXP) | 9.7% |
| ServiceNow Inc. (NOW) | 5% |
*As of Sept. 20 close, based on CFRA 12-month price targets.
Nvidia Corp. (NVDA)
High-end chip designer 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 122% year over year in its fiscal second quarter, while its net income skyrocketed by 168%. Analyst Angelo Zino says Nvidia’s penetration into edge devices, opportunities in software and content gains in higher systems will drive another 39% revenue growth in fiscal 2026 and 15% growth in 2027. CFRA has a “buy” rating and $139 price target for NVDA stock, which closed at $116 on Sept. 20.
Alphabet is one of the world’s largest online search and advertising companies and is the parent company of Google and YouTube. In the second quarter, Alphabet reported 14% revenue growth, which included 28% Google Cloud revenue growth. Zino projects Alphabet can maintain at least 10% annual revenue growth through 2025 thanks to opportunities artificial intelligence technology present for the company’s advertising ecosystem. He says AI can help optimize factors such as ad bidding, targeting and creation. Zino also projects at least 25% annual cloud services growth through 2025. CFRA has a “buy” rating and $220 price target for GOOGL stock, which closed at $163.59 on Sept. 20.
Meta Platforms Inc. (META)
Meta Platforms is a market leader in social media and online advertising and is the parent of Facebook, Instagram and other platforms. Meta has seemingly found its growth groove, reporting an impressive 22% revenue growth in the second quarter. Zino projects Meta will generate full-year free cash flow of at least $45 billion in 2024 and $50 billion in 2025. In addition, he projects 13% revenue growth in 2025 and says the company is positioned to maintain at least 10% annual earnings per share growth. CFRA has a “buy” rating and $600 price target for META stock, which closed at $561.35 on Sept. 20.
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 a regional banking crisis and was seized by the Federal Deposit Insurance Corp., or FDIC. JPMorgan has reported consistent double-digit revenue growth in recent quarters. Analyst Kenneth Leon says wallet share gains are contributing to JPMorgan’s impressive growth numbers, and he projects full-year 2024 revenue growth of 19.4% as the investment banking industry rebounds. CFRA has a “buy” rating and $230 price target for JPM stock, which closed at $211.09 on Sept. 20.
[See: 7 Best Growth Funds to Buy and Hold.]
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 12% revenue growth in the second quarter. Analyst Stewart Glickman says Exxon’s increased exposure to the Permian Basin following its acquisition of Pioneer Natural Resources will drive future growth. Exxon targets 11% annual Permian production growth through 2027. Glickman says development of Exxon’s Guyana property will also contribute to growth. CFRA has a “buy” rating and $135 price target for XOM stock, which closed at $115.27 on Sept. 20.
Mastercard Inc. (MA)
Mastercard is one of the world’s largest credit card and payments providers. In the second quarter, Mastercard reported 11% revenue growth, 15% net income growth and 9% gross dollar volume growth. Analyst Alexander Yokum says Mastercard’s innovative management team is constantly finding new ways for the company to generate growth. In fact, Yokum projects Mastercard’s revenue growth will increase from 12% in 2024 to 13% in 2025. Even better, he anticipates Mastercard’s EPS growth will exceed its revenue growth by at least 4% in the coming years. CFRA has a “buy” rating and $560 price target for MA stock, which closed at $492.74 on Sept. 20.
Advanced Micro Devices Inc. (AMD)
Shares of microprocessor and graphics semiconductor stock Advanced Micro Devices are up a whopping 3,993% over the past decade. AMD reported 9% revenue growth and an impressive 881% net income growth in the second quarter. Even after the stock’s big run, Zino says he is bullish on AMD thanks to the growth outlook for its data center server sales. He anticipates AMD’s margins will expand through 2025 as its sales mix shifts more toward new products. Zino projects 27% revenue growth in 2025. CFRA has a “buy” rating and $180 price target for AMD stock, which closed at $155.95 on Sept. 20.
Salesforce Inc. (CRM)
Salesforce is the world’s largest provider of cloud-based customer relationship management software. In addition to its organic growth, Salesforce has grown via a string of acquisitions, including its 2020 buyout of Slack. Salesforce reported 8% revenue growth and 12% net income growth in the second quarter. Zino says Salesforce is attractively valued and has opportunities to gain market share, increase profits and maintain solid growth numbers for the foreseeable future. He projects between 7% and 9% annual revenue growth through at least fiscal 2027. CFRA has a “strong buy” rating and $300 price target for CRM stock, which closed at $266.80 on Sept. 20.
American Express Co. (AXP)
American Express is a financial services company that specializes in credit cards, digital payments and travel services. In the second quarter, American Express reported 8% revenue growth and 38% net income growth. Yokum says American Express has top-tier execution and can outgrow the 7% to 8% overall growth rate of the digital payments industry in coming years. He projects 10% revenue growth in 2024 and 9% growth in 2025. Yokum says American Express will benefit from high exposure to younger customers, which tend to generate higher spending growth. CFRA has a “buy” rating and $295 price target for AXP stock, which closed at $268.99 on Sept. 20.
ServiceNow Inc. (NOW)
ServiceNow provides cloud applications used to manage and automate workplace processes and workflows. ServiceNow reported 23% revenue growth in 2023 and has maintained 22% growth as of the most recent quarter. Analyst Janice Quek says AI technology integration and new AI features can help ServiceNow generate significant revenue growth in the medium term. In addition, Quek says product expansions and subscription upgrades will help the company further monetize existing customers. She projects 21% revenue growth in 2024 and 20% growth in 2025. CFRA has a “strong buy” rating and $984 price target for NOW stock, which closed at $937.36 on Sept. 20.
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10 Best Growth Stocks to Buy for 2024 originally appeared on usnews.com
Update 09/23/24: This story was previously published at an earlier date and has been updated with new information.
