3 growth stocks to buy that could be more profitable than Bitcoin and Dogecoin
Buy the dip? These are probably the three words on the minds of many cryptocurrency investors right now. The prices of two of the most popular cryptocurrencies – Bitcoin (CRYPTO: BTC) and Dogecoin (CRYPTO: DOGE) – are down more than 40% from their highs set earlier this year.
But there’s another question that’s even better for cryptocurrency investors to ask: are there other downside buying alternatives that could generate better returns in the long run? I think the answer to this question is a resounding “yes”. Here are three growth stocks to buy that could easily be bigger winners than Bitcoin and Dogecoin.
VI Gores Holdings (Matterport)
VI Gores Holdings (NASDAQ: GHVI) stocks are currently down more than 40% from the February high. The carnage was even worse. In the past week or so, shares of the Special Purpose Acquisition Company (SPAC) have climbed nearly 20%.
Time is running out for the merger of Gores Holdings VI with spatial data pioneer Matterport. This transaction is expected to give Matterport an initial market capitalization of nearly $ 2.9 billion. That valuation may seem ridiculously high given that Matterport will likely generate revenue in the order of $ 120 million this year. However, the company’s growth prospects could make it a much bigger winner than Bitcoin or Dogecoin in the long run.
Matterport creates 3D digital twins of physical spaces. More than 250,000 customers (including 13% of Fortune 1000) are already using the company’s platform. Matterport’s technology opportunities range from facilities management and real estate marketing to insurance pricing and interior design and more.
The company’s total addressable market exceeds $ 240 billion. I don’t expect Matterport to come close to capturing this full market. You don’t have to always be a big winner, however. Matterport predicts that revenues in 2025 will approach $ 750 million. If it achieves this goal, this stock will offer huge gains over the next few years.
Share capital Hedosophia Holdings V (SoFi)
There is another battered SPAC stock that has started a comeback in recent days. Share capital Hedosophia Holdings V (NYSE: IPOE) stocks were more than 40% below their all-time high at the end of April before rebounding. However, this is still a candidate to buy on the downside, with the stock almost 30% off its peak.
You won’t have to wait very long for PSPC to finalize its merger with fintech company SoFi. The deal is expected to close on May 28, with SoFi starting trading on the Nasdaq stock exchange on June 1.
SoFi meets almost all of a consumer’s financial needs in one application. Its app includes a digital wallet for paying bills and friends. Users can buy and sell stocks and cryptocurrencies. They can apply for loans. The SoFi app can be combined with a SoFi credit card. And members can earn rewards using the app.
The company has recorded seven consecutive quarters of accelerating member growth year over year. SoFi has exceeded the upper limit of its revenue forecast for the first quarter. It also posted three consecutive quarters of positive adjusted earnings before interest, taxes, depreciation and amortization (EBITDA).
SoFi believes it will generate adjusted net income of $ 3.7 billion by 2025, nearly six times its 2020 total. This is the kind of growth that should allow this fintech stock to pay off. a lot of money to investors.
Now for a choice that is not connected to a PSPC – Beam Therapeutics (NASDAQ: BEAM). The biotech stock is still nearly 40% below its early-year high despite a double-digit percentage in the past two weeks.
Beam Therapeutics is a pioneer in genetic basis editing. Gene editing has made huge strides in recent years. However, most biotechnology uses genome-cutting approaches such as the use of genetic scissors. Beam’s method, however, is more like using a pencil to erase and rewrite a specific mutation in a gene.
The company plans to file for approval later this year to begin its first clinical study evaluating the core edition candidate BEAM-101 in the treatment of beta thalassemia and sickle cell disease. He also hopes to identify a preclinical candidate for advancing in targeting genetic liver disease.
Beam is by far the riskiest of the stocks mentioned. However, if its basic editing approach is successful, the stock should have huge long-term growth potential that could be better than Bitcoin or Dogecoin.
This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a premium Motley Fool consulting service. We are motley! Challenging an investment thesis – even one of our own – helps us all to think critically about investing and make decisions that help us become smarter, happier, and richer.