Got $3,000? 2 Monster Growth Stocks to Buy Right Now Without Hesitation

Bear markets come and go, and as the market has proved once again in recent months, bull markets appear consistently in the aftermath. The S&P 500 has clocked a series of new highs to start off 2024 on a high note.

While different stocks have experienced the market rebound in varying degrees, great businesses are continuing to demonstrate their resilience in all market environments. If you have a solid amount of cash to invest in stocks, say $3,000, there are plenty of intriguing companies that you could put a portion or the entirety of that amount into.

Here are two names to consider that have monster growth potential in 2024 and beyond.

1. AbbVie

AbbVie (ABBV -0.74%) has been in a period of transition that is par for the course for most pharmaceutical companies during various business cycles. In the case of AbbVie, this has been the loss of patent exclusivity for a drug that was not only its top-selling product, but at one point was the top-selling drug in the world: Humira.

Competition from generic versions of Humira and the decline in sales that has resulted has had an obvious impact on AbbVie’s balance sheet. That impact will take time to recede, but that doesn’t mean that it’s time to abandon ship on this business.

For one, AbbVie has a considerable portfolio that spans various disease concerns ranging from immunology to oncology to various neurological disorders. While its overall revenue and profits were down on a year-over-year basis in 2023, it still brought in $54 billion on the top line and $4.9 billion on the bottom line for the 12-month period, which is nothing to scoff at.

Top-selling products include immunology drugs Skyrizi and Rinvoq, oncology drugs Imbruvica and Venclexta, as well as Botox Therapeutic and Botox Cosmetic. AbbVie has been preparing for the loss of patent exclusivity for Humira for a long time, not only through the sales growth of newer mainstay products but through a series of acquisitions that will drive future business growth.

The company recently acquired Immunogen, which is known for Elahere, a first-in-class antibody-drug conjugate approved for platinum-resistant ovarian cancer. It’s also in the process of its acquisition of Cerevel Therapeutics, a company that specializes in medicines for psychiatric and neurological disorders.

On March 25, AbbVie announced that it plans to acquire Landos Biopharma, a clinical-stage biopharmaceutical company whose lead drug candidate is a first-in-class treatment for ulcerative colitis and Crohn’s disease.

There’s no reason to think that AbbVie doesn’t have plenty of growth runway ahead, and investors looking at a long-term investment can enjoy the fruits of those labors. In the meantime, it’s also worth mentioning that this storied dividend payer boasts a generous yield of about 3.5%. If you’re looking for passive income and a quality business, AbbVie hits the mark on both fronts.

2. e.l.f. Beauty

e.l.f. Beauty (ELF -2.07%) is known for its lines of clean beauty and makeup products that are vegan, are never tested on animals, and contain no animal-derived ingredients. The company has been in business for two decades, and has evolved through the years from an early mover in the e-commerce beauty space to establishing its own brick-and-mortar stores.

e.l.f. Beauty later closed all of its brick-and-mortar stores to focus on its digital business and impressive global distribution network through long-standing partnerships with companies like Amazon, Walmart, Ulta Beauty, and Target. The company has revolutionized its marketing strategy in recent years to cater to a new generation of buyers and capitalize on the Gen Z beauty craze through mediums like TikTok.  

The company has also launched a series of well-received campaigns that have driven customer acquisition and retention, such as its 2024 Game Day Commercial that featured Judge Judy, key members from the cast of the legal drama Suits, and appearances from a selection of popular TikTok influencers. Another popular ad campaign featured The White Lotus‘ Jennifer Coolidge.

The company’s tailored approach to marketing by jumping on rapidly evolving pop culture trends and aligning them with the fast-changing world of beauty has translated to profits as well as steady growth for the business. e.l.f. Beauty has also found success with a remarkable asset-light business model.

Instead of manufacturing its own products, it relies on a trusted network of third-party manufacturers in China, a model that is certainly not novel to e.l.f. Beauty but has proven incredibly effective. This has reduced a lot of the operating costs that the company would otherwise incur, while also allowing it to maintain its affordable lineup of products, where the average cost of an item runs at just $5. Those prices for a quality product create a compelling buying proposition in any market environment, and especially in challenging macro conditions.

At this point, e.l.f. Beauty has managed to deliver close to two dozen quarters of consecutive revenue growth, while steadily improving profitability. The most recent quarter saw the company report net sales of $271 million, an eye-popping 85% increase from the prior-year period. Net income for the quarter totaled $27 million, up 41% from one year ago.

e.l.f. Beauty also just acquired a skin care brand called Naturium, a move that is not only expected to significantly augment sales growth but increase the company’s share of the skincare market to a whopping 18%. With shares trading up more than 40% from the start of 2024 and about 150% from one year ago, it’s fair to say investors are pumped about the stock. It may be a good idea to scoop up a few shares now before the stock rockets higher.