It's not that difficult to find the market with the highest growth potential at any given time. However, finding stocks that have the potential to increase in value by 5x over the next five years is a different story. At their core, companies need to do everything right and operate in an industry with serious sustainable growth potential. Temporary declines in these stocks will also help. Admittedly, that's a tall order.
However, there are several such names currently available. Here, we take a deep dive into three blue-chip stocks that could turn a $1,000 investment into a $5,000 position by the end of 2030.
Where to invest $1,000 now? Our team of analysts has revealed what they believe. Best 10 stocks Buy now. See 10 stocks »
Amazon
Amazon (NASDAQ:AMZN) Of course, it is the leader of the Western Hemisphere. e-commerce region. According to Digital Commerce 360 numbers, the company controls 40% of the North American market. Our performance overseas is not that bad either. The company's overseas division recorded top-line growth of 12% in the third quarter of last year, and is expected to deepen its profitability and ultimately remain in the black. (The company's North American e-commerce division has been profitable for some time, and operating profits are also increasing at a faster than average rate.)
None of these are reasons why you wouldn't want to consider getting into Amazon stock in anticipation of a heroic five-year exit.
Rather, the core of the bullish argument here is the cloud computing business, which is the company's cash cow. Also known as Amazon Web Services (AWS). Last quarter's revenue growth pace was 19%, extending comparable year-to-date growth, and AWS now accounts for more than 60% of the company's operating income. This number is still increasing at a significant pace.
Data source: Amazon Inc. Graph by author. Numbers are in billions.
This is important simply because there is still plenty of room for growth in the cloud computing market. Mordor Intelligence expects the global cloud computing market to grow at an average annual rate of more than 16% through 2030.
The continued expansion of Amazon's e-commerce business certainly doesn't undermine the bullish theory. Investors appear to be underestimating them all.
Ivans Biotherapeutics
These past four years have been tough. Ivans Biotherapeutics (NASDAQ:IOVA) Shareholders. The stock was all the rage in 2019 and 2020, but ultimately peaked at $54.21 in January 2021 before dropping to a low of $3.21 in 2023. The current price is close to $6.00, which isn't much better.
But this selloff could be a great buying opportunity, rooted in the idea that investors can collectively have bad timing.
But first things first.
As the name suggests, Iovance Biotherapeutics biopharmaceutical name. Its flagship product is a tumor-infiltrating lymphocyte (TIL) treatment called lifileucel, which has been under research for years but first received FDA approval (for the treatment of melanoma) in 2024. That was in February. This was widely expected but had not yet been approved. This is a major milestone for the pre-commercial revenue company.
The response was good. Ivans sold $60 million worth of the young (and expensive) drug in the three months ending in September 2024.
However, investors have not maintained a bullish reaction to this success.
What gives?
The move here is actually somewhat typical of small biopharmaceutical stocks working on a single innovative drug candidate. The company burned through any future euphoria-based bullishness in 2019 and 2020, when it first became clear that lifileucel was likely to win approval. In the three years between then and approval, investors largely lost interest.
Ironically, Iovance Biotherapeutics' growth story has never been more compelling. Creedence Research suggests that the nascent and underserved tumor-infiltrating lymphocyte drug market will grow at nearly 40% annually through 2032, with a value of around $2.5 billion. . Given that Iovance is one of the first and few companies to nail this science, investors should begin to assess and price its potential and actual growth in the near future.
Roku
Last but not least, please add Roku (NASDAQ:ROKU) Add it to the list of stocks that could turn $1,000 into $5,000 by 2030.
Like Iovance, Roku's stock price soared in the early days of (and even in the aftermath of) the COVID-19 pandemic. Millions of people were suddenly stuck at home with nothing to do but watch TV. Mr. Roku streaming The players helped make that possible.
As expected after the stock's unstoppable meteoric rise, the market eventually began to realize that its lofty valuation meant little at the time. The stock lost more than 80% of its value from 2021 to 2022 and has remained stagnant ever since. The company's lack of profitability during this period certainly didn't help either.
So let's take a closer look at what Roku is all about. Although it has recently relinquished some of this share, Roku still commands a whopping 37% of the North American connected television (CTV) device market, according to industry research firm Pixalate. The next closest competitor in this crowded arena is still far behind at just 17%.
The company isn't doing as well overseas, but that's only because it's focusing more time and resources on its domestic market, where it's doing well and where most of the opportunities lie. According to Global Markets Insights, the global streaming/on-demand video market is expected to grow at an average annual rate of 11% through 2032, with North America accounting for over 40% of the business.
But that's not the only bullish catalyst poised to push this stock higher.
Roku briefly turned profitable in pandemic-hit 2021 before returning to the red, but its current revenue and profit trajectory suggests it will be on track to return to profitability by next year. . It is unlikely that you will make a huge profit. Analysts expect earnings per share of just $0.36 in 2026. However, this is not the end of this growing trend. Sales and bottom line should continue to improve.
Data source: StockAnalysis. Graph by author.
Given what will become increasingly clear, the stock price will likely begin to rise long before this feat of feasibility is achieved.
Don't miss out on this potentially lucrative second chance
Have you ever felt like you missed out on buying the most successful stocks? Then you'll want to hear this.
In rare cases, our team of expert analysts “Double Down” stock Recommendations for companies that are likely to take off. If you're already worried that you're missing out on an investment opportunity, now is the best time to buy before it's too late. And the numbers speak for themselves.
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NVIDIA: If you invested $1,000 when it doubled in 2009; That's $357,084!*
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apple: If you invested $1,000 when it doubled in 2008; you have $43,554!*
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Netflix: If you invested $1,000 when it doubled in 2004; you have $462,766!*
We currently have “double down” alerts on three great companies, and we may not see an opportunity like this again anytime soon.
*Stock Advisor will return as of January 13, 2025
John Mackey, former CEO of Amazon subsidiary Whole Foods Market, is a member of the Motley Fool's board of directors. james bramley has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Iovance Biotherapeutics, and Roku. The Motley Fool has Disclosure policy.
