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Key Points
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These companies have some great long-term opportunities in travel, healthcare, crypto, and finance.
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Their valuations are relatively low, and they all trade well below $100.
Investing in growth stocks is a great way to grow your portfolio in the long run. But it can be difficult to predict which ones will take off in value and which one's won't. And that's why it might make sense to invest in multiple growth stocks, to ensure you aren't placing all your hopes on just a single company.
Three stocks that possess a lot of long-term potential and are cheap buys right now are Carnival (NYSE: CCL), AstraZeneca (NASDAQ: AZN), and Block (NYSE: XYZ). At less than $100 per share, here's why these can be good growth stocks to load up on today.
Carnival
Carnival stock trades at around $23 per share, and that's an attractive price for the business, given how strong its performance has been in recent quarters. The cruise ship operator has been posting record numbers as demand has been robust.
In its most recent quarter, which ended on Feb. 28, revenue of $5.8 billion rose by 7% year over year. Its operating income of $543 million was a little less than double the $276 million operating profit it posted a year ago.
What's weighing on the company, however, is its debt load, as interest expenses and debt repayment costs totaled $629 million and resulted in an overall net loss for the quarter.
The company still has a lot of work to do; its long-term debt remains substantial at $25.5 billion, but it is moving in the right direction and is working on reducing its debt load. At an estimated 13 times next year's estimated profits (based on analyst projections), this can be an underrated stock to buy right now.
AstraZeneca
Shares of AstraZeneca closed at a little less than $70 on Monday, and this is another growth stock to buy and hold. Its broad portfolio of drugs makes it a great healthcare investment to hang on to.
Its oncology products generated more than $5.6 billion in sales alone through the first three months of the year. Treatments in the cardiovascular, immunology, and rare-disease categories, along with other products, also generate billions.
AstraZeneca is a growth beast, projecting annual sales to top $80 billion by 2030, which would be a sizable increase from the $54 billion it reported last year. With a ton of growth on the horizon, this is a stock that can get much more valuable.
Its price/earnings-to-growth multiple of less than 1 also suggests this can be a bargain buy for long-term investors. And to sweeten the deal, the stock also pays investors a dividend that yields 2.3%