Don't want to spend a fortune and break the bank on investing in growth stocks? The ones listed here all cost less than $100. Even if you can't make a big lump sum investment, you can add steadily to your position over time, resulting in a much larger balance in the future.
If you're looking for cheap growth stocks to buy, three you'll want to consider today are Novo Nordisk (NVO 3.76%), Carnival (CCL 0.37%), and Zoom Communications (ZM -0.22%). Here's why these stocks have a lot of upside.
Shares of healthcare company Novo Nordisk have declined by about 30% in the past year, and currently trade at about $83 as investors have grown increasingly bearish -- partly due to uncertainty over how healthcare companies might fare under the new U.S. administration.
But what's attractive about Novo Nordisk is that the company focuses on diabetes and weight loss, which are two areas of high importance for the healthcare industry. The company has multiple products in those areas which can generate high growth for years to come, including Ozempic (diabetes) and Wegovy (weight loss). Plus, it still has a promising pipeline. The stock got a boost in January after the company announced encouraging early stage trial results for amycretin, a GLP-1 drug which showed that it could help people lose up to 22% of their body weight over a 36-week period.
Novo Nordisk stock trades at just 22 times its estimated future profits (based on analyst estimates) and can be a steal of a deal for long-term investors.
Shares of cruise ship operator Carnival are nowhere near the $100 mark, and at a price of less than $30, you can easily buy multiple shares and still have cash left over. This is a stock that I think has loads of upside, because even if it can get back to its pre-pandemic levels of over $40, that can provide investors with some great returns.
Carnival's business has been doing well. Its revenue in 2024 was a record $25 billion, and rose by 15% year over year. The company also returned to profitability, reporting a profit of more than $1.9 billion after incurring a loss of $74 million the year before. And Carnival is anticipating 20% earnings growth this year as it still sees strong demand ahead.
Trading at a forward price-to-earnings (P/E) multiple of 16, Carnival's stock looks incredibly cheap, and it could have much more room to rise this year.
Zoom's videoconferencing business took off during the pandemic shutdowns, and while its growth rate isn't as strong as it has been in years past, it has the potential to still be a good underrated growth stock to own. On Monday, the stock was trading at around $85, so this could be yet another good investment to buy for less than $100.
The company's growth rate has been in single digits in recent quarters, but it has been expanding into opportunities that could help accelerate that. It offers its users mail, calendar, scheduling, and other capabilities, which can make it appeal to a wider range of customers.
What's also encouraging is that the business' bottom line has been increasing at a great pace. Over the company's past three quarters, Zoom's operating income has totaled $588 million -- that's up 65% year over year. The tech stock trades at a forward P/E of 16 and may be a great investment to buy and hold.
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