Investing in stocks with exceptional growth potential is one of the most effective ways to build significant wealth over time. With the right mix of research, patience, and calculated risk-taking, investor portfolios can experience incredible gains that make millionaire status achievable within just a few years.
According to historical data, stocks with total return potentials of 200-400% over a 1-3 year time horizon offer the opportunity to transform an initial investment of $25,000-$50,000 into $1 million or more. These types of returns typically come from identifying disruptive and innovative companies early that are poised for rapid growth in massive addressable markets.
In this blog post, we will explore 7 stocks across technology, e-commerce, and other high-growth industries that exhibit the qualities needed to potentially multiply your net worth to $1 million or more by 2024 based on their future upside.
The companies highlighted have competitive advantages in their target markets, proven track records of execution, and secular growth trends working in their favor. As always, prudent risk management is necessary when investing for such aggressive portfolio gains. But for investors with the appetite for higher risk-reward scenarios, allocating a portion of investable assets to the elite growth stocks profiled below could generate life-changing wealth creation within a 2-3 year timeframe.
So, Here are 7 stocks that have the potential to make you a millionaire by 2024 based on their growth prospects and upside potential.
01
of 08Tesla (TSLA)
Tesla has been one of the top-performing stocks over the last decade, with shares up over 5,000% in the last 5 years alone. The electric vehicle maker is the clear leader in an industry poised for massive growth over the next decade.
Tesla delivered a commendable 1.3 million EVs in 2022, marking a 40% growth year-over-year. The company’s ambitious roadmap for 2023 aims for a 50% increase in deliveries, bolstered by the inauguration of new factories in Austin and Berlin. These strategic expansions are projected to elevate Tesla’s production capacity to 2 million vehicles annually. Furthermore, the company’s gross automotive margins reached an impressive 30.5% in Q3 2022, underscoring its manufacturing prowess.
The global demand for Tesla’s vehicles remains robust, with the Model Y and Model 3 ranking among the top-selling EVs in 2022. This consumer preference aligns with the broader EV market’s growth trajectory, which forecasts a CAGR of 25-30% over the next five years.
For investors eyeing the EV space, Tesla presents a promising opportunity. If the company’s stock ascends to $4,000 by the end of 2024, a $40,000 investment today could potentially yield a return of $1 million.
02
of 08Nvidia (NVDA)
Nvidia, a tech giant renowned for its prowess in graphics processing units (GPUs), has been showcasing impressive financial performance. In fiscal 2022, the company reported a 61% surge in revenue, reaching $26.9 billion, with its gaming and data center segments achieving record sales. This upward trajectory continued into Q3 2023, where Nvidia witnessed a 38% annual increase in sales. This growth was spearheaded by a notable 51% jump in gaming revenue, while data center sales also saw a robust 44% rise.
The company’s dominance in the market is evident, holding over 90% of the market share in discrete gaming GPUs. Furthermore, Nvidia stands as a leader in accelerators for AI workloads within data centers. In a strategic move to capitalize on the burgeoning metaverse trend, Nvidia is heavily investing in its Omniverse platform. Additionally, the company’s pending $40 billion acquisition of chip designer Arm is set to bolster its footprint in the realms of IoT and edge computing. Given Nvidia’s formidable positions across gaming, data centers, AI, the metaverse, and more, it is well-positioned for sustained growth in the coming years.
For investors, this presents a lucrative opportunity: if Nvidia’s stock ascends to $600 by the end of 2024, a strategic investment of $50,000 today could potentially yield a return of $1 million.
03
of 08Shopify (SHOP)
Shopify, a leading e-commerce platform, offers businesses the tools to sell online, through social media, and even in physical stores. The company has reaped significant benefits from the e-commerce surge during the pandemic, witnessing a sales increase of over 50% in 2020. Even with such impressive growth, Shopify’s potential is far from tapped out. As the digital transformation continues and more businesses transition online, Shopify’s platform becomes increasingly relevant. The company’s stock has a promising trajectory, with projections suggesting it could hit $2,500 by 2024. For investors, this means a $60,000 investment now could potentially grow to a staggering $1 million.
In Q3 2022, Shopify reported a 22% year-over-year growth, bringing its revenue to $1.4 billion. A notable metric is its monthly recurring revenue, which stood at $107 million. The platform’s reach is expansive, powering over 2 million merchants worldwide, marking a 20% increase from the previous year. 2022 also saw Shopify broadening its global footprint, introducing localized offerings in regions like Italy, Spain, and Singapore. The company’s innovation isn’t limited to geographical expansion; new products like POS Go devices, Shop Pay installment plans, and tokengated commerce are testament to Shopify’s commitment to diversifying its offerings. Furthermore, by strengthening partnerships with social media giants like TikTok, Shopify is positioning itself at the forefront of social commerce.
The global retail e-commerce landscape is evolving rapidly, with forecasts indicating a 12% Compound Annual Growth Rate (CAGR) through 2025. Shopify, with its robust platform and strategic initiatives, is poised to capitalize on this growth.
04
of 08Sea Limited (SE)
Sea Limited, headquartered in Singapore, is a multifaceted internet company that has made significant inroads in the e-commerce, gaming, and digital payments sectors across Southeast Asia. The region, characterized by its burgeoning middle class and escalating internet penetration, offers Sea Limited vast market opportunities. The company’s revenue trajectory has been nothing short of impressive, with growth rates surpassing 100% in recent years. Analysts are optimistic about its future, predicting that its shares could soar to $600 within the next two years. For investors, this translates to a potential windfall, where a $25,000 investment now could metamorphose into a million dollars.
In the third quarter of 2022, Sea Limited reported a 17% year-over-year growth, with its revenue reaching $3.2 billion. A significant chunk of this revenue, $1.9 billion to be precise, came from e-commerce sales, marking a 26% increase. The company’s e-commerce arm, Shopee, continues to dominate the market in Southeast Asia and Taiwan in terms of visits and is making aggressive strides into the Latin American market. On the gaming front, Sea’s digital entertainment division, Garena, boasts over 825 million quarterly active users, with games like Free Fire leading the charge. Another feather in Sea’s cap is its digital financial services unit, SeaMoney, which reported a 51% revenue growth in Q3 2022 and has over 61 million paying users for its mobile wallet.
Innovation is at the heart of Sea Limited’s strategy. The company is continually enhancing user engagement across its platforms with novel products like Shopee Coins and the Garena Game Pass. With a vision to cater to 1 billion users in Southeast Asia and beyond, Sea Limited is well-positioned to capitalize on the region’s e-commerce potential, especially considering the current e-commerce penetration stands at a mere 5-6% of total retail.
05
of 08PayPal (PYPL)
PayPal, a global leader in digital payments, has seen significant growth as the world pivoted to online shopping and digital transactions. The company boasts over 426 million active accounts and has processed a staggering $1.25 trillion in payments in 2021 alone. With its subsidiaries like Venmo and Honey, coupled with its international expansion strategies, PayPal’s growth trajectory looks promising.
In 2021, PayPal reported a revenue of $27.5 billion, marking an 18% year-over-year growth. The total payment volume for the year surpassed $1.25 trillion, reflecting a 30% increase from 2020. The company’s user base is also on the rise, with over 430 million active accounts. Notably, Venmo, a popular social payments platform under PayPal, has expanded its user base to over 90 million active accounts. The third quarter of 2022 saw PayPal adding a record 15.3 million net new active accounts, and the total payment volume for the quarter rose by 9% to $337 billion.
PayPal’s growth strategy is multifaceted. The company is amplifying its services for both merchants and consumers, with initiatives like the “Pay with Venmo” checkout option and the introduction of new financial tools. Furthermore, PayPal is keen on deepening its collaborations with major e-commerce platforms, including giants like Amazon, aiming to capture a larger share of the payment volume market. In a move to enhance shareholder value, the company’s management has also announced a new $15 billion share repurchase program.
Analysts predict that by 2024, PayPal’s stock could be trading around $500 per share. For investors, this presents a golden opportunity: a $30,000 investment now could potentially escalate to a million dollars.
06
of 08Unity Software (U)
Unity Software stands at the forefront of the digital revolution, offering a cutting-edge development platform for crafting interactive, real-time 3D content. Predominantly known for its role in video game creation, Unity’s software has transcended this niche, finding applications in diverse fields such as architecture and engineering modeling. The burgeoning demand for real-time 3D content across various industries underscores Unity’s vast growth potential.
In the financial realm, Unity showcased a robust performance in Q3 2022, with its revenue surging by 22% year-over-year to reach $322 million. The platform’s appeal is evident, boasting over 1 million monthly active creators. Its dominance in the gaming sector is particularly noteworthy; Unity powers a staggering 71% of the top 1,000 mobile games and has made significant inroads in the console, PC, and virtual reality segments. In a strategic move to bolster its position in the mobile gaming sector, Unity acquired IronSource for $4.4 billion in Q3 2022, aiming to tap into the lucrative realms of mobile game monetization and advertising.
Unity’s vision extends beyond gaming. The company anticipates a surge in demand for real-time 3D applications across sectors like manufacturing, retail, and architecture. This diversification strategy is complemented by the company’s financial goals. Unity’s management has set its sights on achieving a remarkable $1 billion in free cash flow by 2024, a significant turnaround from the loss reported in 2022. This ambitious target hinges on aggressive revenue growth and strategic optimization efforts.
For investors, Unity presents a tantalizing opportunity. If market predictions hold true and Unity’s stock price ascends to $300 by the end of 2024, a strategic investment of $100,000 today could potentially yield a return of $1 million.
07
of 08CrowdStrike (CRWD)
CrowdStrike, a frontrunner in the cybersecurity landscape, offers paramount protection to organizations against the ever-looming threat of breaches and cyberattacks. As the digital realm witnesses a surge in cyberattacks globally, the demand for CrowdStrike’s cloud-based protective services has skyrocketed.
Over the past year, CrowdStrike’s stock has demonstrated resilience, registering an 8% increase. To put this into perspective, the stock, which was trading around $106 at the dawn of 2022, has now climbed to approximately $115. Financially, the company has been on an upward spiral. Its annual recurring revenue has grown at a Compound Annual Growth Rate (CAGR) of 60% from 2019 to 2022, amassing over $2.14 billion.
This growth is mirrored in its customer base, with total subscription customers surging at a CAGR of 82% over the past three years, culminating in 19,686 customers by Q3 2022. As CrowdStrike continues to scale its operations, its gross margins have seen a commendable improvement, rising from 58% in 2019 to 76% in Q3 2022.
The cybersecurity market presents a vast Total Addressable Market (TAM) for CrowdStrike, currently valued at $158 billion. The company has ambitious plans to tap into this potential, aiming to expand its TAM to a staggering $234 billion by 2026. Given CrowdStrike’s historical growth patterns, its industry-leading platform, and the expansive TAM, it is poised to sustain an annual revenue growth rate exceeding 30%.
For investors, this paints a promising picture: if CrowdStrike’s stock achieves the projected $600 valuation by the end of 2024, a strategic $25,000 investment today could burgeon to an approximate $1 million. However, potential investors should approach with caution, weighing the opportunities against the inherent market risks.
08
of 08Conclusion
Achieving millionaire status by 2024 is an ambitious yet attainable goal for investors willing to make concentrated bets on hypergrowth stocks like the ones detailed in this post.
The companies profiled above exhibit the traits of potential multibaggers: they have proven track records of execution, massive addressable markets, competitive moats, and the ability to rapidly scale revenue and earnings growth.
While risks certainly exist when investing in emerging, innovative companies, the rewards can also be life-changing. With prudent position sizing, diversification, and continual research, investing in this basket of high-upside stocks offers the opportunity for your portfolio to reach a million-dollar valuation before 2024.
Even smaller, long-term positions have the potential to create tremendous wealth over time. The key is to identify and own disruptive companies early on that are positioned to experience exponential growth over the next decade and beyond.
While there are never any guarantees in investing, making the right calls on stocks like Tesla, Nvidia, and PayPal, as featured, provides the chance to turn modest investments into fortunes. This could allow you to begin living life on your own terms sooner than you might have thought possible.