Growth boosts valuation multiples, but it doesn’t always last forever. Companies that cannot maintain it are often penalized with large declines in market value, a lesson ingrained in investors who lost money in tech stocks during 2022.
Deciphering which businesses can sustain their high growth rates is a challenge for even the most seasoned professionals, which is why we started StockStory. Keeping that in mind, here are three growth stocks with significant upside potential.
Duolingo (DUOL)
One-Year Revenue Growth: +35.5%
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 Will DUOL Beat the Market?
- Monthly Active Users have grown by 677% annually, allowing for more profitable cross-selling opportunities if it can build complementary products and features
- Incremental sales over the last three years have been highly profitable as its earnings per share increased by 145% annually, topping its revenue gains
- Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends, and its rising cash conversion increases its margin of safety
Duolingo is trading at $107.58 per share, or 14.1x forward EV/EBITDA. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.
Zeta Global (ZETA)
One-Year Revenue Growth: +33.6%
Powered by an AI engine that processes over one trillion consumer signals monthly, Zeta Global (NYSE: ZETA) operates a data-driven cloud platform that helps companies target, connect, and engage with consumers through personalized marketing across channels like email, social media, and video.
Why Does ZETA Stand Out?
- Billings growth has averaged 36.6% over the last year, indicating a healthy pipeline of new contracts that should drive future revenue increases
- Notable projected revenue growth of 28.8% for the next 12 months hints at market share gains
At $17.03 per share, Zeta Global trades at 2.2x forward price-to-sales. Is now the time to initiate a position? Find out in our full research report, it’s free.
Dell (DELL)
One-Year Revenue Growth: +18.8%
Founded by Michael Dell in his University of Texas dorm room in 1984 with just $1,000, Dell Technologies (NYSE: DELL) provides hardware, software, and services that help organizations build their IT infrastructure, manage cloud environments, and enable digital transformation.
Why Will DELL Outperform?
- Annual revenue growth of 13.3% over the last two years was superb and indicates its market share increased during this cycle
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 20.5% exceeded its revenue gains over the last two years
- Rising returns on capital show management is finding more attractive investment opportunities
Dell’s stock price of $262.23 implies a valuation ratio of 17.8x forward P/E. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.
High-Quality Stocks for All Market Conditions
ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.
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Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.
