These 2 Stocks Are All-Stars in the Making
The current bear market hasn't exactly been kind to young and fast-growing businesses, especially those that are unprofitable. And while many of these are still high-risk investments, there are some that look rather attractive from a risk-reward perspective. Here are two in particular that aren't in any financial danger and could potentially grow to many times their current size if management can execute.
SoFi (NASDAQ: SOFI) hasn't exactly been a top-performing stock. A product of the special-purpose acquisition company (SPAC) boom, SoFi has been beaten down along with most other growth stocks and even more lately due to investor concerns about the banking industry after several high-profile failures.
However, SoFi could be an incredible bargain hiding in plain sight for long-term investors. Even in this challenging environment, the company continues to grow at an impressive pace. Its membership base is up 46% year over year with 433,000 new members added in the first quarter alone. Its financial services products (bank accounts, brokerage, and credit cards) grew by 51% year over year. While SoFi isn't profitable on the basis of generally accepted accounting principles (GAAP) yet, it generated its highest quarterly adjusted revenue and earnings before interest, taxes, depreciation, and amortization (EBITDA) to date.
Source Fool.com
