logo
3 Growth Stocks That Could Help Make You a Fortune

3 Growth Stocks That Could Help Make You a Fortune

Yahoo17-07-2025
Key Points
AMD's shift into the lucrative AI chip market is helping it expand its margins, and driving its stock price higher.
MercadoLibre has brought the e-commerce business model to Latin America with impressive effect.
Alphabet oversees some of the web's most-used services and exciting new technologies.
10 stocks we like better than Advanced Micro Devices ›
After a turbulent start to 2025, the stock market is once again near its all-time highs. The S&P 500, Nasdaq Composite, and Dow Jones Industrial Average are up 6%, 7%, and 4%, respectively, year to date. So, what are some stocks that investors should be focused on? Here are three that I believe are savvy choices right now.
Advanced Micro Devices
After surging 128% in 2023, and slumping 18% in 2024, Advanced Micro Devices (NASDAQ: AMD) stock is once again on fire. As of this writing, the stock is up 20% year to date, well ahead of the tech-centric Nasdaq Composite's gain of 7%.
The catalyst? AMD stock has been getting a boost from sell-side analysts who believe the company's newest artificial intelligence (AI) chips will aid it in its ongoing competition with Nvidia.
In short, Nvidia remains the king of AI chips, thanks to its long-standing position as the leader in the graphics processing unit (GPU) market. However, things are changing. AMD's MI350 chips and its upcoming MI400 chips are highly anticipated, and could help it cut into Nvidia's lead within the overall data center GPU market.
Moreover, AMD's newfound foothold in the AI data center market is helping to widen its margins. Overall, AMD's gross margins have increased from 42% to over 50% over the last three years, as the company's revenue mix shifts away from low-margin CPUs to higher-margin GPUs.
To sum up, AMD's newfound strength in the AI chip market makes it a stock to consider right now.
MercadoLibre
Simply put, MercadoLibre (NASDAQ: MELI) is a stock that every investor should know, but not everyone does. It's the leading e-commerce provider in Latin America -- a market where rival operators had previously struggled.
However, MercadoLibre seems to have cracked the code. That's great news for the company as it means there is still an immense market that it can grow into from here. Its business model is built on a familiar playbook: It runs an online storefront that matches buyers and sellers, then offers logistics solutions to deliver items to customers' doorsteps.
In addition, the company offers digital payment solutions (Mercado Pago) and advertising services (Mercado Ads).
If that all sounds similar to Amazon, it should. More to the point, it's difficult to argue with MercadoLibre's results. In the first quarter, it reported:
$5.9 billion in revenue, up 37% year over year.
$494 million in net income.
$795 million in free cash flow.
Those are fantastic figures, and they point to the strength of the company's business model. Nevertheless, MercadoLibre stock has its risks, particularly because of the company's regional focus. Economic or political disruptions in its core Latin American markets could take a toll on MercadoLibre's business and its stock price. Therefore, this isn't a stock for every investor.
Alphabet
Finally, there's Alphabet (NASDAQ: GOOG) -- arguably, the most significant internet company around. A recent survey of the most visited websites by Datareportal/SemRush showed that the top two sites were once again Google and YouTube -- both owned by Alphabet. Indeed, those two sites alone accounted for more than 200 billion monthly visits, more than the next 18 largest websites combined.
What's more, Alphabet is at the forefront of several exciting cutting-edge technologies. Take robotaxis, for instance. Through its self-driving vehicle subsidiary, Waymo, Alphabet is one of only a handful of companies currently operating robotaxis for paying customers.
Many analysts see robotaxis as the future of transportation, which could open up a lucrative new revenue stream for Alphabet. In addition, Alphabet is investing in AI initiatives and quantum computing. Any of those areas of research could bear fruit for Alphabet if it can take the lead on some of the world's next great technological breakthroughs.
In summary, Alphabet is a technological juggernaut today, but it is not resting on its laurels. By investing in AI, autonomous vehicles, and quantum computing, Alphabet is well-positioned to remain a stock market giant well into the future.
Should you buy stock in Advanced Micro Devices right now?
Before you buy stock in Advanced Micro Devices, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Advanced Micro Devices 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 $679,653!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,046,308!*
Now, it's worth noting Stock Advisor's total average return is 1,060% — a market-crushing outperformance compared to 179% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of July 15, 2025
Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Jake Lerch has positions in Alphabet, Amazon, MercadoLibre, and Nvidia and has the following options: long July 2025 $150 calls on Advanced Micro Devices. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Amazon, MercadoLibre, and Nvidia. The Motley Fool has a disclosure policy.
3 Growth Stocks That Could Help Make You a Fortune was originally published by The Motley Fool
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

McDonald's (MCD) Declares US$1.77 Quarterly Dividend Payable September 2025
McDonald's (MCD) Declares US$1.77 Quarterly Dividend Payable September 2025

Yahoo

time42 minutes ago

  • Yahoo

McDonald's (MCD) Declares US$1.77 Quarterly Dividend Payable September 2025

On July 22, 2025, McDonald's reaffirmed its quarterly dividend of $1.77 per share, reinforcing its dedication to shareholder value, with the payment scheduled for mid-September. Meanwhile, the S&P 500 hit new highs amidst trade deal optimism, buoying broader market sentiment and echoing the upward trend with a 1.3% rise over the past week. Amid this favorable backdrop, McDonald's saw its share price climb by 4.07% over the last month, aligning with bullish market conditions, suggesting that the dividend announcement and positive market trends may have supported this gain. We've discovered 2 weaknesses for McDonald's that you should be aware of before investing here. This technology could replace computers: discover the 26 stocks are working to make quantum computing a reality. The recent announcement from McDonald's reaffirming its dividend of US$1.77 per share underscores its ongoing commitment to delivering shareholder value. Despite economic challenges and competitive pressures outlined in the narrative, this move is likely to reinforce investor confidence. This confidence could support further revenue growth as emphasized by the company's strategy focused on value offerings and menu innovations aimed at attracting a wider consumer base. As McDonald's leverages digital engagement and partnerships to improve operational efficiencies, the dividend payment might also signal positive future cash flow projections, potentially aiding its earnings growth forecast. Over the past five years, McDonald's shares have yielded a total return of approximately 70.91%, including dividends, which highlights the company's resilience and growth capacity. This performance, juxtaposed with a one-year underperformance against the US Hospitality industry (which returned 29.6%), suggests a robust long-term traction in its business operations. While short-term fluctuations have seen McDonald's underpeform its industry, the longer-term gains reflect a steady upward trajectory amidst varied market conditions. Regarding the price movement, the recent climb in share price by 4.07% positions McDonald's at US$299.17, just below the consensus analyst price target of US$328.79. The proximity of the current price to the target indicates a belief in McDonald's fundamental strengths, yet also suggests limited immediate upside unless the company can materially exceed growth forecasts in revenue and earnings. The narrative's emphasis on economic instability and competitive pressures might pose challenges; however, if McDonald's can effectively capture market share through targeted campaigns and menu innovation, it may align more closely with analyst expectations and potentially uplift its market valuation further. Evaluate McDonald's historical performance by accessing our past performance report. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include MCD. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Sign in to access your portfolio

Why Starbucks (SBUX) is Gaining Attention Among Food Dividend Investors
Why Starbucks (SBUX) is Gaining Attention Among Food Dividend Investors

Yahoo

timean hour ago

  • Yahoo

Why Starbucks (SBUX) is Gaining Attention Among Food Dividend Investors

Starbucks Corporation (NASDAQ:SBUX) is included among the 10 Best Food Stocks with Dividends. A close-up of a freshly roasted coffee bean, accompanied by a vintage aluminum scoop. The company seems to be reaching a key turning point with Brian Niccol stepping in as CEO, drawing comparisons to the company's 2008 revival under Howard Schultz. A major focus under his leadership is improving the mobile ordering system, which now accounts for roughly 30% of US sales but has negatively impacted service quality and the in-store experience. To tackle this issue, Starbucks Corporation (NASDAQ:SBUX) brought in Meredith Sandland— former Taco Bell executive and founder of Empower Delivery— to enhance order sequencing through machine learning. The move highlights Niccol's strategic focus on assembling strong, capable teams. Starbucks Corporation (NASDAQ:SBUX) is a strong dividend payer, having paid regular dividends to shareholders for 60 consecutive quarters. During this time, the company's dividend has grown at an average annual rate of 20%, with increases sustained for 14 straight years. It offers a quarterly dividend of $0.61 per share and has a dividend yield of 2.58%, as of July 27. While we acknowledge the potential of SBUX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: READ NEXT: and Disclosure: None. 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

Mondelez International (MDLZ): A Strong Contender Among Food Dividend Stocks
Mondelez International (MDLZ): A Strong Contender Among Food Dividend Stocks

Yahoo

timean hour ago

  • Yahoo

Mondelez International (MDLZ): A Strong Contender Among Food Dividend Stocks

Mondelez International, Inc. (NASDAQ:MDLZ) is included among the 10 Best Food Stocks with Dividends. A colourful array of products like candies, chocolates and gums on a supermarket shelf. Mondelez International, Inc. (NASDAQ:MDLZ), a major name in the snack food industry, is well known for owning popular chocolate brands like Oreo, Cadbury, Chips Ahoy!, Milka, and others. As of 2025, it held the second-largest share in the global chocolate market at 12.3%. Mondelez International, Inc. (NASDAQ:MDLZ) has also been growing its footprint in the health food space, responding to the increasing global focus on healthier eating. The company reported strong earnings in the first quarter of 2025. Its revenue was $9.3 billion, which showed a 1% growth from the same period last year. Mondelez International, Inc. (NASDAQ:MDLZ) offers a dividend as well, which it has steadily increased since becoming an independent company. The company's cash position is also strong, as it generated $1.1 billion in cash from operating activities and reported free cash flow of $0.8 billion. It also returned $2.1 billion to shareholders. It currently offers a quarterly dividend of $0.47 per share and has a dividend yield of 2.66%, as of July 27. While we acknowledge the potential of MDLZ as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: READ NEXT: and Disclosure: None. Sign in to access your portfolio

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store