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3 Internet Stocks to Target This Week

FVRR Cover Image

By breaking down physical barriers, consumer internet businesses are reshaping how people shop, connect, learn, and play. These themes have enabled the industry to hold up better than other pockets of the market - over the past six months, the sector’s 5.4% pull back was relatively better than the S&P 500’s 8.2% decline.

However, long-term winners that can stand the test of time are rare in this space because competition is fierce with many well-capitalized companies. On that note, here are three resilient internet stocks at the top of our wish list.

Fiverr (FVRR)

Market Cap: $841.7 million

Based in Tel Aviv, Fiverr (NYSE: FVRR) operates a fixed price global freelance marketplace for digital services.

Why Does FVRR Stand Out?

  1. 13.8% annual increases in its average revenue per buyer over the last two years show its platform is resonating with power users
  2. Platform is difficult to replicate at scale and leads to a premier gross margin of 82.4%
  3. Incremental sales significantly boosted profitability as its annual earnings per share growth of 58.6% over the last three years outstripped its revenue performance

Fiverr is trading at $22.48 per share, or 10.5x forward EV-to-EBITDA. Is now the right time to buy? Find out in our full research report, it’s free.

Duolingo (DUOL)

Market Cap: $14.2 billion

Founded by a Carnegie Mellon computer science professor and his Ph.D. student, Duolingo (NASDAQ: DUOL) is a mobile app helping people learn new languages.

Why Do We Love DUOL?

  1. Has the opportunity to boost monetization through new features and premium offerings as its monthly active users have grown by 41.5% annually over the last two years
  2. Additional sales over the last three years increased its profitability as the 210% annual growth in its earnings per share outpaced its revenue
  3. DUOL is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders, and its rising cash conversion increases its margin of safety

At $299.98 per share, Duolingo trades at 51.9x forward EV-to-EBITDA. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.

DoorDash (DASH)

Market Cap: $73.09 billion

Founded by Stanford students with the intent to build “the local, on-demand FedEx", DoorDash (NYSE: DASH) operates an on-demand food delivery platform.

Why Is DASH a Top Pick?

  1. Orders have increased by an average of 22.1% annually, giving it the potential for margin-accretive growth if it can develop valuable complementary products and features
  2. Highly efficient business model is illustrated by its impressive 16% EBITDA margin, and it turbocharged its profits by achieving some fixed cost leverage
  3. Performance over the past three years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 124% outpaced its revenue gains

DoorDash’s stock price of $167 implies a valuation ratio of 28.1x forward EV-to-EBITDA. Is now a good time to buy? Find out in our full research report, it’s free.

Stocks We Like Even More

The market surged in 2024 and reached record highs after Donald Trump’s presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025.

While the crowd speculates what might happen next, we’re homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver’s seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 175% over the last five years.

Stocks that made our list in 2019 include now familiar names such as Nvidia (+2,183% between December 2019 and December 2024) as well as under-the-radar businesses like Sterling Infrastructure (+1,096% five-year return). Find your next big winner with StockStory today for free.

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