Invest in these stocks if your priority is long-term growth.
If you’re looking to buy stocks, you don’t need to have tens of thousands of dollars available to invest. Nowadays, with brokerages offering low or no-commission trading, even putting $500 toward a stock can be a great way to start building up your portfolio. And over time, you can add to your position.
A couple of excellent options for growth-oriented investors to consider now are Axsome Therapeutics(AXSM 3.72%) and Netflix (NFLX 2.11%). Both businesses have the potential to beat the market in the long run, and here’s why.
1. Axsome Therapeutics
Investing $500 into healthcare company Axsome Therapeutics has the potential to go a long way for investors. At a market capitalization of less than $2 billion and some promising products, this biotech has plenty of room to get much bigger.
One key product is Axsome’s depression medication, Auvelity. The Food and Drug Administration approved Auvelity to treat major depressive disorder (MDD) earlier this year. At its peak, analysts project the treatment could generate close to $2 billion in revenue. The fast-acting medication helps improve results in patients after just one week and is a promising new option for people with MDD.
Another of Axsome’s promising medications is Sunosi, a narcolepsy medication the company acquired from Jazz Pharmaceuticals. That drug could peak at $1 billion in annual revenue.
Axsome’s business is just getting going (it hasn’t generated any revenue until this year) and the future looks bright, with a couple of promising products to build around, plus more in its pipeline (the company has multiple treatments that are in phase 3 trials).
Year to date, the stock is up 10% and has soundly beaten the S&P 500, which is down 21% over the same period. But in the longer term, Axsome’s gains could look even more impressive.
2. Netflix
A $500 investment wouldn’t be able to buy you even two shares of Netflix, but it’s still an attractive option for investors. The beaten-down streaming stock has lost half of its value this year, and with the business coming off a strong quarter, Netflix has been rallying lately.
Concerns about subscriber losses look to be in the past because for the period ended Sept. 30, Netflix added 2.41 million subscribers, coming in at more than double the 1.09 million that analysts were expecting. Sales of $7.9 billion exceeded analysts’ estimate of $7.8 billion, and the company also beat on the bottom line, with earnings per share of $3.10 coming in well above Wall Street’s projected $2.13.
What’s promising about Netflix is that while it is facing competition from many other streaming services — including Walt Disney‘s Disney+, which has comparable subscriber numbers — the business hasn’t maxed out its growth opportunities just yet. Next month, it launches an ad-based plan (Disney will offer one as well), giving consumers a lower-priced option at just $6.99 per month. Meanwhile, Netflix is also planning to crack down on password sharing, which is something it has long ignored because subscriber growth came with ease. In the future, that could bring in more subscribers and revenue.
Overall, Netflix is a stock that’s in good shape to outperform the markets from here on out because it’s making a more serious effort on cutting costs and pursuing additional avenues for growth.
Banking Regulator Warns Americans to Pay Attention to Friday, Jan 13th
If it feels like you’re working harder than ever, saving more… AND GETTING LESS.
If it feels like no matter how well your investments do, you’re falling further and further behind…
I’ve got some news for you…
Trust your instincts.
You’re absolutely right.
Which is why I’m urging all Americans to get ready for Friday, Jan 13.
Most Americans don’t know the REAL REASON things have gotten so warped in America…
They don’t know why the system is working great for a select few…
But is a complete disaster for everyone else.
Most don’t know how this Friday, Jan 13  could be a major turning point for your financial future.
I’m in a unique position to know why…
Hi, my name is Louis Navellier.
42 years ago I was a federal banking regulator.
I saw from the inside how the government corrupted the value of our money…
I saw how it destroyed the little guy… and made the rich richer.
I learned why my blue-collar parents worked so hard in the 1970s, but never got ahead.
So I did what any self-respecting, hardworking American would do…
I quit.
With some saved-up cash—and an idea about how the markets really worked…
I started my own investment firm.
Over time, my beliefs about money, hard work, and fiscal responsibility — which my father instilled in me from a young age — were proven correct.
Today, my firm, Navellier & Associates, manages over $2 billion in assets. Some 200 pension and institutional money managers have entrusted us with their money.
Look…
I definitely DO NOT believe America’s best days are behind us.
That said… as a family man who’s spent more than 40 years at the apex of Wall Street…
I definitely DO believe you are 100% responsible for understanding the incredible force creating the large and expanding chasm between the Haves and the Have Nots…
Most Americans are completely unprepared for a new financial event about to make it even worse.
I definitely believe you are 100% responsible for protecting your own family and taking a few simple preparations, especially when they are so cheap and easy to do…
The first step you need to take is mark your calendar for this Friday, Jan 13.
Everything you need to know is in my new video, linked below, free for public view.
Click the “Watch Now” button below to get the full story.
