Two Notable Growth Stocks to Procure Immediately to Commence the New Year in an Optimistic Manner
It's worth thinking about your investment goals for the year ahead. With the average bull market lasting approximately five years and yielding an average cumulative total return of 178%, you might be halfway through this current one. If it follows suit, you've got plenty of time to grow your portfolio.
Investors on the hunt for high-growth stocks should consider two noteworthy options: On Holding (ONON -0.50%) and Toast (TOST -1.68%).
1. On Holding: Amplifying Activewear's Appeal
On Holding is making waves in the world of elite athleticwear. With its distinctive, hole-riddled sneakers and recognizable On logo, the brand has quickly gained popularity tapping into the wallets of affluent, resilient consumers.
While footwear remains its core product, On has expanded into a full range of activewear, including the innovative LightSpray shoes. With increasing global brand presence and celebrity endorsements by athletes like Iga Swiatek and Helen Obiri, On's small $2.5 billion revenue base is rapidly growing.
In Q3 2024, On's sales surged 33% year over year, and direct-to-consumer sales saw a remarkable 50% growth, growing to 38.8% of the total sale. Boasting an impressive gross margin, On is charging high prices for its premium products and maintaining loyal customers.
2. Toast: Revolutionizing Restaurant Management
Toast, a standout fintech stock, offers a comprehensive, cloud-based platform handling every aspect of restaurant management. By integrating all operations and boasting a machine learning model for data analysis, it has gained recognition among restaurants for its efficiency and time-saving benefits.
By providing 24/7 customer service and cultivating a full suite of digital ordering capabilities, Toast has managed to command a loyal customer base, adding over 7,000 new locations in Q3 2024, growing its total to 127,000.
What's more, after years of losses, Toast flipped from a $59 million operating loss in 2022 to a profit of $35 million in Q3 2024, and boasted an adjusted EBITDA of $97 million.
Investors should definitely take a closer look at both On Holding and Toast for potential high-growth returns. With rising revenues, niche market domination, and steady profitability, both companies possess strong fundamentals for expanding their portfolios.
- In terms of finance and investments, considering the strong performance of On Holding and its potential for further growth, allocating some money towards purchasing their shares could be a beneficial move for your portfolio.
- As you plan your financial strategies for the year, don't overlook Toast as an investment opportunity. With its revolutionary restaurant management platform and impressive financial turnaround, investing in Toast could yield substantial returns.
