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2 Social Media Stocks That Are Screaming Buys in June

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39 minutes ago

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2 Social Media Stocks That Are Screaming Buys in June

Thanks to its nearly limitless supply of content, Reddit is taking on a significant role in the AI-powered search ecosystem. Meta Platforms plans to fully automate ads on its various properties by using AI, starting in 2026. 10 stocks we like better than Meta Platforms › After a rough start to the year, tech stocks have come roaring back. As of this writing, the tech-heavy Nasdaq Composite index has surged by more than 25% over the last two months. So with market sentiment swinging back in favor of tech stocks, let's have a closer look at two social media stocks that I believe are buys right now. First up is Reddit (NYSE: RDDT). A relative newcomer as far as social media stocks go, Reddit has only been a public company for a little over a year. However, during that time, its shares have soared by more than 250%. What's behind that excellent performance? In short, red-hot growth across the board. For the first quarter, Reddit delivered a stunning report. Highlights included: Explosive revenue growth of 61% year over year International revenue growth of 82% Average revenue per user (ARPU) 23% higher than a year earlier Daily average users (DAUs) 31% higher Gross margin now 90.5%, compared to 88.6% a year ago Net income of $26 million versus a loss of $575 million last year Reddit, which hosts hundreds of thousands of "subreddits," is part of the growing internet ecosystem that includes large language models (LLMs) like ChatGPT, search engines like Alphabet's Google, and social media networks. Since Reddit's users create millions of pieces of unique content and post subjective opinions on current events, the platform plays a key role in shaping search results and responses from LLMs. In addition, the company has gotten into the LLM game with its Reddit Answers feature, which boasts over 1 million weekly average users (WAUs). Here's the key takeaway: Reddit is an up-and-coming social media stock with a still-modest market cap of $22 billion. Its volatility and meager (for now) profits mean the stock isn't a great fit for everyone, particularly value investors. However, for long-term-oriented growth investors, Reddit is a name to consider in June. Then, there's Meta Platforms (NASDAQ: META). What I love about Meta's stock performance is that the company makes it look easy. Consider its latest earnings report. In the first quarter, the company posted: $42 billion in revenue $17 billion in net income $10 billion in free cash flow Bear in mind that those are figures for a single quarter. On a yearly basis, the company is on track to generate nearly $190 billion in revenue, meaning its total revenue this year could match -- or perhaps surpass -- iconic American companies like Ford Motor Company, General Motors, and Chevron. In addition to its excellent results, the company is also making moves for the future. Meta is spending heavily on artificial intelligence (AI) infrastructure, such as AI chips and data centers. Those investments are intended to upend the advertising landscape -- and put Meta at the heart of the digital advertising ecosystem. By 2026, the company wants to fully automate ads, allowing brands to cut out advertising-agency intermediaries altogether. What's more, Meta wants to automate the process using AI, allowing brands to customize their ads based on the viewer's location and tastes. In other words, Meta is aiming for another big leap forward -- one that could deliver another surge in revenue, profits, and free cash flow. For investors, now could be the time to load up on Meta shares, before the company begins to reap the rewards of its AI investments. However, given how far Meta has already climbed this year (at this writing, the stock is up 19% year to date), a dollar-cost-averaging strategy could be a savvy way to build a long-term position. Before you buy stock in Meta Platforms, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Meta Platforms wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!* Now, it's worth noting Stock Advisor's total average return is 792% — a market-crushing outperformance compared to 173% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Jake Lerch has positions in Alphabet, Ford Motor Company, and Reddit. The Motley Fool has positions in and recommends Alphabet, Chevron, and Meta Platforms. The Motley Fool recommends General Motors. The Motley Fool has a disclosure policy. 2 Social Media Stocks That Are Screaming Buys in June was originally published by The Motley Fool Sign in to access your portfolio

Here's How Investing $300 Per Month Can Create $50,000 in Annual Dividends

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an hour ago

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Here's How Investing $300 Per Month Can Create $50,000 in Annual Dividends

Regularly investing in the stock market can help you build up a portfolio worth more than $1 million. Investing in top growth stocks can put you in a good position to outperform the broader market. With a high enough portfolio balance, it becomes easier to generate a lot of recurring dividend income. 10 stocks we like better than Invesco QQQ Trust › Being able to live off dividend income in your retirement years can be a great goal to aim for. And by investing in the stock market, growing your portfolio, and investing in dividend-paying stocks, that can be possible. But just how does that all work? Below, I'll outline a strategy that can help you build up a strong portfolio balance over time through monthly investments of $300, and then, how that can eventually be transformed into a portfolio that's generating around $50,000 per year in dividends for you. To achieve the best returns over the long run, you'll likely want to have a position in top growth stocks. While they can be volatile, especially in the short term, over a long period of time, you should benefit from their growth and rising valuations. It can, however, be hard to pick the right growth stocks and determine the right mix of them. In order to get around this, you can simply invest in the Invesco QQQ Trust (NASDAQ: QQQ). The exchange-traded fund (ETF) will give you exposure to the top 100 non-financial stocks on the Nasdaq Stock Exchange. There's no worry about having to change your portfolio composition over the years and determining which stocks to buy and sell. All that is taken care of for you through this ETF, which does the work for you. Over the past decade, the QQQ ETF has easily beaten the S&P 500, and is a great example of why it can be an ideal investment option when pursuing long-term growth. Historically, the S&P 500 has averaged an annual total return of close to 10%. It's possible that slower annual returns may be on the horizon, given how strong the market has been in recent years. But for the Invesco QQQ Trust, which has performed much better than the market, a 10% total annual return would be a slowdown, and thus, may be a realistic percentage to use when forecasting its future performance. If you were to invest $300 per month into the fund, and it ended up averaging a 10% annual total return (compounded), then after 35 years, your portfolio balance could climb to a value of over $1.1 million. With $1.1 million, you would need to put that money into investments that yield a little more than 4.5% to generate dividend income of $50,000 per year. If your balance is not at such a high level, then you would need to target a higher yield for that to be possible, and that can result in taking on a bit too much risk. After building up your portfolio to such a large amount, it'll be important to balance both dividend income along with capital preservation; you don't want all that work of growing your portfolio to go to waste by gambling it on a risky dividend. In 35-plus years, there will be new income-generating investments to consider, but one example today of an ETF that could bring in a lot of income is the iShares International Select Dividend ETF (NYSEMKT: IDV), which yields 5.3% and gives you exposure to international companies from all over the world. This or a similar type of investment could help provide you with a sufficiently high yield to produce $50,000 in annual dividends on a $1.1 million balance, while keeping your risk relatively low. Another thing you can do to try to minimize your risk is to spread your total investment across multiple ETFs. As long as you're averaging around 4.5%, then the end result can still be the same: $50,000 in dividends per year. Regardless of what the outlook may be for the stock market this year, or for the next few years, routinely investing in it can still be an effective way of building up your wealth over the long haul. Timing the market is a risky strategy that can result in you missing out on gains. By simply making it a routine to invest in a fund like the Invesco QQQ Trust each month, you don't need to worry about external factors -- simply trust the process. There may be anxiety and poor returns in any one year, but the long-term trajectory is still likely to be a very strong and positive one. Before you buy stock in Invesco QQQ Trust, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Invesco QQQ Trust wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!* Now, it's worth noting Stock Advisor's total average return is 792% — a market-crushing outperformance compared to 173% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 David Jagielski has no position in any of the stocks mentioned. The Motley Fool recommends Nasdaq. The Motley Fool has a disclosure policy. Here's How Investing $300 Per Month Can Create $50,000 in Annual Dividends was originally published by The Motley Fool Sign in to access your portfolio

Yahoo

an hour ago

Yahoo

Here's How Investing $300 Per Month Can Create $50,000 in Annual Dividends

Regularly investing in the stock market can help you build up a portfolio worth more than $1 million. Investing in top growth stocks can put you in a good position to outperform the broader market. With a high enough portfolio balance, it becomes easier to generate a lot of recurring dividend income. 10 stocks we like better than Invesco QQQ Trust › Being able to live off dividend income in your retirement years can be a great goal to aim for. And by investing in the stock market, growing your portfolio, and investing in dividend-paying stocks, that can be possible. But just how does that all work? Below, I'll outline a strategy that can help you build up a strong portfolio balance over time through monthly investments of $300, and then, how that can eventually be transformed into a portfolio that's generating around $50,000 per year in dividends for you. To achieve the best returns over the long run, you'll likely want to have a position in top growth stocks. While they can be volatile, especially in the short term, over a long period of time, you should benefit from their growth and rising valuations. It can, however, be hard to pick the right growth stocks and determine the right mix of them. In order to get around this, you can simply invest in the Invesco QQQ Trust (NASDAQ: QQQ). The exchange-traded fund (ETF) will give you exposure to the top 100 non-financial stocks on the Nasdaq Stock Exchange. There's no worry about having to change your portfolio composition over the years and determining which stocks to buy and sell. All that is taken care of for you through this ETF, which does the work for you. Over the past decade, the QQQ ETF has easily beaten the S&P 500, and is a great example of why it can be an ideal investment option when pursuing long-term growth. Historically, the S&P 500 has averaged an annual total return of close to 10%. It's possible that slower annual returns may be on the horizon, given how strong the market has been in recent years. But for the Invesco QQQ Trust, which has performed much better than the market, a 10% total annual return would be a slowdown, and thus, may be a realistic percentage to use when forecasting its future performance. If you were to invest $300 per month into the fund, and it ended up averaging a 10% annual total return (compounded), then after 35 years, your portfolio balance could climb to a value of over $1.1 million. With $1.1 million, you would need to put that money into investments that yield a little more than 4.5% to generate dividend income of $50,000 per year. If your balance is not at such a high level, then you would need to target a higher yield for that to be possible, and that can result in taking on a bit too much risk. After building up your portfolio to such a large amount, it'll be important to balance both dividend income along with capital preservation; you don't want all that work of growing your portfolio to go to waste by gambling it on a risky dividend. In 35-plus years, there will be new income-generating investments to consider, but one example today of an ETF that could bring in a lot of income is the iShares International Select Dividend ETF (NYSEMKT: IDV), which yields 5.3% and gives you exposure to international companies from all over the world. This or a similar type of investment could help provide you with a sufficiently high yield to produce $50,000 in annual dividends on a $1.1 million balance, while keeping your risk relatively low. Another thing you can do to try to minimize your risk is to spread your total investment across multiple ETFs. As long as you're averaging around 4.5%, then the end result can still be the same: $50,000 in dividends per year. Regardless of what the outlook may be for the stock market this year, or for the next few years, routinely investing in it can still be an effective way of building up your wealth over the long haul. Timing the market is a risky strategy that can result in you missing out on gains. By simply making it a routine to invest in a fund like the Invesco QQQ Trust each month, you don't need to worry about external factors -- simply trust the process. There may be anxiety and poor returns in any one year, but the long-term trajectory is still likely to be a very strong and positive one. Before you buy stock in Invesco QQQ Trust, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Invesco QQQ Trust wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!* Now, it's worth noting Stock Advisor's total average return is 792% — a market-crushing outperformance compared to 173% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 David Jagielski has no position in any of the stocks mentioned. The Motley Fool recommends Nasdaq. The Motley Fool has a disclosure policy. Here's How Investing $300 Per Month Can Create $50,000 in Annual Dividends was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

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2 Social Media Stocks That Are Screaming Buys in June

Here's How Investing $300 Per Month Can Create $50,000 in Annual Dividends

Here's How Investing $300 Per Month Can Create $50,000 in Annual Dividends

TMDX CLASS ACTION ALERT: Lose Money when TransMedics Group, Inc. Plummeted 30%? Contact BFA Law about the Class Action Lawsuit

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2 Social Media Stocks That Are Screaming Buys in June

Here's How Investing $300 Per Month Can Create $50,000 in Annual Dividends

Here's How Investing $300 Per Month Can Create $50,000 in Annual Dividends

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