In 2021, growth stocks experienced a surge due to easy money policies, but as interest rates rose, some of the best growth stocks faced corrections. However, with the possibility of multiple interest rate cuts in the next 12 to 24 months, there is optimism for another significant rally in growth stocks. This article focuses on under-$30 growth stocks that have the potential to deliver 3-bagger returns by 2026.
Marathon Digital (MARA) is a Bitcoin miner that has seen a 64% increase in its stock price in the last 12 months. The company has ambitious expansion plans, with a target to boost its hash rate capacity to 50EH/s by the end of the year. With a strong balance sheet and positive developments like diversifying into mining operations for Kaspa, MARA is poised for further growth.
Miniso Group (MNSO) is a lifestyle products retailer in China and globally. The company has been trending higher, with plans to open 900 to 1,100 new stores annually between 2024 and 2028. With a focus on expanding its retail presence and improving EBITDA margins, MNSO is expected to see substantial growth. Additionally, the company initiated dividends last year, offering an attractive yield of 2.1%.
Rivian Automotive (RIVN), an electric vehicle maker, faced a significant correction in its stock price but recently secured a deal with Volkswagen for a joint venture. This partnership, which includes a $5 billion investment from Volkswagen, is expected to create value for Rivian and provide the company with the necessary funding for future projects. With Volkswagen planning to launch 25 new EV models in the U.S. by 2030, the long-term prospects for Rivian look promising.
Overall, these under-$30 growth stocks present opportunities for investors looking to capitalize on potential 3-bagger returns in the coming years.