3 Growth Stocks You Should Buy Instead of SpaceX

Space Exploration Technologies (NASDAQ: SPCX), besides known arsenic SpaceX, conscionable had the largest IPO successful past and turned Elon Musk into the world's archetypal trillionaire. However, that doesn't mean investors should unreserved to bargain the stock. As of Tuesday morning, the institution -- which remains unprofitable -- had a price-to-sales ratio of astir 130. That's a reasonably precocious premium to pay.

Luckily, you tin take from among galore different maturation stocks that person much tenable valuations and enticing maturation prospects. For example, these 3 megacap tech companies each marque much consciousness to adhd to your portfolio than SpaceX's banal astatine existent levels.

Will AI make the world's archetypal trillionaire? Our squad conscionable released a study connected the 1 little-known company, called an "Indispensable Monopoly" providing the captious exertion Nvidia and Intel some need. Continue »

Nvidia

Nvidia (NASDAQ: NVDA) isn't precisely the world's biggest concealed arsenic an investment. It's the astir invaluable institution by marketplace cap, and its AI chips person fueled the full AI boom. 

It graphics processing units (GPUs) beryllium astatine the bosom of the exertion that made the full AI manufacture possible. Yet contempt respective years of holding the lion's stock of income successful the AI accelerator market, this $5 trillion-plus tech elephantine continues to station the benignant of maturation rates you would expect from an ambitious small-cap oregon mid-cap stock.

Revenue surged by 85% twelvemonth implicit twelvemonth successful the company's fiscal 2027 archetypal 4th (which ended April 27), with nett net margins surpassing 70%. The tech world's propulsion into agentic AI is expected to necessitate adjacent much unreality computing power, which positions Nvidia for adjacent much growth. Management's guidance for its fiscal 2027 2nd 4th implies 11.5% sequential growth.

While rival AI chipmakers similar Broadcom and Advanced Micro Devices are increasing arsenic well, neither of them is increasing arsenic rapidly arsenic Nvidia. It's simply successful a people of its own, and with a 31.4 P/E ratio, it offers a amended borderline of information than SpaceX.

Meta Platforms

Meta Platforms (NASDAQ: META) banal hasn't fared good recently. It's down by much than 10% twelvemonth to date, but that doesn't mean it's a atrocious investment. The institution down Facebook, Instagram, and different societal media apps delivered tremendous fiscal results successful the archetypal quarter. Revenue accrued 33% twelvemonth implicit year, and the company's nett net borderline astir reached 50%.

Online ads stay a high-margin, high-growth opportunity. Meta Platforms makes astir each of its gross from ads, but it has been diversifying into artificial quality with Meta Superintelligence Labs. The institution released its archetypal AI exemplary from that division, and if advancement compounds from there, that conception whitethorn yet lend meaningfully to its gross growth.