e.l.f. Beauty, Inc., together with its subsidiaries, provides cosmetic and skin care products under the e.l.f. Cosmetics, e.l.f. Skin, Well People, and Keys Soulcare brand names worldwide. The company offers eye, lip, face, face, paw, and skin care products. It sells its products through national and international retailers and direct-to-consumer channels, which include e-commerce platforms in the United States, and internationally primarily through distributors. The company was formerly known as J.A. Cosmetics Holdings, Inc. and changed its name to e.l.f. Beauty, Inc. in April 2016. e.l.f. Beauty, Inc. was founded in 2004 and is headquartered in Oakland, California.

e.l.f. Beauty, Inc.

If you're struggling to find compelling prospects for your portfolio right now, you're not alone. The market's usual favorites are seemingly out of favor. Too many stocks also look and feel overextended.
Just peer a little bit beyond the beaten path for less obvious names, however, and you'll find value and opportunity there. Here are three stocks to consider now..
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »
Uber Technologies
Sure, ride-hailing outfit Uber Technologies (NYSE: UBER) missed its fourth-quarter profit estimates, earning $0.23 per share versus analyst expectations of $0.50. Its bookings and profit guidance for the quarter now underway also fell short of projections, sending shares lower.
But there's a reason Uber stock reversed course the very next day and has gained more than 20% from its post-earnings low. That is, given a day to think about its results and bigger-picture opportunity, investors recognized this company is still doing incredibly well. Last quarter's bookings were still up 18% year over year, extending long-established trends that will likely continue into this year.
The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) was also up 44% for the three-month stretch ending in December, extending a healthy growth trend.
There's also the not-so-small fact that Uber dominates the U.S.'s growing ride-hailing market with about a three-fourths' share. It isn't doing too shabbily in Europe either. That's why it's well-positioned to capture more than its fair share of the ride-hailing market that Straits Research says is set to grow at an annualized pace of more than 11% through 2032.
Perhaps the bullish detail that's most underestimated about Uber, however, is the rapid growth it's seeing on the food delivery and same-day logistics (buy online, get it delivered later that day) fronts, and how much opportunity awaits with these businesses.
With automobile ownership and the number of licensed drivers both still on the decline, the food delivery industry is expected to grow just as quickly as the personal mobility business is. In the meantime the same-day logistics industry is likely to grow at an average annual pace of more than 21% through 2033, again according to Straits Research.
Given this tailwind, it's surprising you can still buy Uber Stock where it was priced a year ago.
Iovance Biotherapeutics
Buying a biopharma stock just for exposure to a single drug usually isn't a great idea. There are justifiable exceptions though. Iovance Biotherapeutics (NASDAQ: IOVA) is one of them.
The drug in question is tumor infiltrating lymphocyte (TIL) treatment Amtagvi. After years of development, it finally won FDA approval in February of last year, becoming the first such drug approved to treat unresectable or metastatic melanoma. That's not likely to be its final approval though. The same drug is now being tested in a dozen other clinical trials, certainly at least some of which will also result in regulatory approval.
Given this prospect, research outfit Global Data suggests annual sales of the drug will exceed $800 million by 2029, with $1 billion in yearly revenue possible by 2030. That's not bad at all for a $1.7 billion company that's also working on a couple of other drugs.
So why do Iovance shares continue to slide from their early 2021 peak? It's mostly the result of misguided predictive timing. When it became relatively clear that Amtagvi would be approved, the bulls got interested. Over the course of the next three years, however, that interest ironically waned while the world was waiting for what finally happened a year ago, and the subsequent revenue explosion that's happening now.
Give it some time though. This stock should respond to the underlying company's growth sooner or later, and likely sooner. In the meantime know that with the ever-improving financial success of Amtagvi now working in its favor, Iovance is developing other drugs that are distinctly different. Most of these are only in phase 1 and phase 2 testing right now, but the company's pipeline is promising all the same.
This might help: Although investors aren't collectively all that bullish on Iovance right now, analysts are. The analyst community's current consensus price target of $23.50 is more than 300% above the stock's present price.
Axon Enterprise
Finally, add Axon Enterprise (NASDAQ: AXON) to your short list of stocks to buy right now. You may be more familiar with this company than you think. Ever heard of a Taser gun? It's not just a weapon that incapacitates a target with an electroshock. It's also a brand name, not to mention a well-patented technology.
Well, Axon owns the Taser brand. The company was previously called Taser International, in fact, before changing its name to better reflect the fact that it now offers so much more. Body-worn cameras and a wide range of security and law enforcement software are also part of its current lineup. It's even tiptoeing into the surveillance drone arena, allowing first responders to gather information when danger may be present, or when personnel may be slowed down by difficult terrain.
That being said, it would be naïve to ignore the growing need for such solutions. Crime isn't going away, while litigation against law enforcement personnel is rising. The need for accountability and transparency -- the kind that only a video recording of a law enforcement interaction can provide -- has never been greater. That's the chief reason this company's fiscal 2024 revenue is on pace to grow nearly 33% year over year, before growing another 23% in the year ahead.
That's still just the beginning though. Market research company Technavio believes the global body cam market is poised to grow at an average annual pace of 19% through 2029, led by North America, where Axon enjoys a particularly strong market presence.
This stock isn't cheap, for the record, priced on the order of 100 times the coming year's expected per-share profits. It's also trading above analysts' consensus target of $648. It wouldn't be wrong to hold out for at least a slightly better valuation, as well as prepare for the above-average volatility that richly priced growth stocks seem to readily dish out.
Just don't be too stingy waiting for a bargain valuation. You might not get it anytime soon, if ever.
Should you invest $1,000 in Axon Enterprise right now?
Before you buy stock in Axon Enterprise, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Axon Enterprise wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $853,275!*
Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than quadrupled the return of S&P 500 since 2002*.
*Stock Advisor returns as of February 7, 2025
James Brumley has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Axon Enterprise, Iovance Biotherapeutics, and Uber Technologies. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

My 3 Favorite Stocks to Buy Right Now

Key Points
Amazon and Alibaba are two stocks with solid retail and AI operations.
E.l.f. Beauty just made a transformative acquisition with Rhode.
Cava has one of the biggest expansion opportunties in the restaurant space.
Some of the best growth stocks are in the consumer space, and with tariffs still very much front and center, many of these stocks remain well off their highs. Nibbling on these names, say with an initial $1,000 investment, can be a good place to start.
Let's look at five consumer-focused stocks to buy now while they're still on sale. These are all solid companies with a lot of potential growth still in front of them.
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1. Amazon
While Amazon (NASDAQ: AMZN) has rallied from its lows, the stock is still off its highs and attractively valued from a historical perspective. And if there were thoughts that tariffs were slowing consumer spending, the company just announced its largest ever Prime Day sales event. Expanded to four days, the company generated $24.1 billion in sales, according to Adobe Analytics. That's more than double the sales it saw last Black Friday.
While Amazon showed it still has what it takes to drive retail sales, what's most exciting about the company is what is going on behind the scenes. Years of investment in logistics, automation, robots, and artificial intelligence (AI) are paying off, and making operations even more efficient. This is leading to cost savings and strong operating leverage.
In addition, Amazon Web Services (AWS) remains the market-share leader in cloud computing, where customers are using its services to build and deploy their own AI models and tools. It's also developed its own custom chips for training and inference, which gives it both performance and cost advantages.
For long-term investors, Amazon is a great stock to own.
2. Alibaba
Alibaba (NYSE: BABA) is a stock that remains on sale. It trades at a forward price-to-earnings (P/E) multiple of just 11 times and has more than 30% of its market cap in cash and investments. The stock is not just cheap, but it's executing on multiple fronts.
Its cloud business has now seen AI-related revenue more than double for seven consecutive quarters. Meanwhile, Apple's decision to use Alibaba's Qwen model to power Apple Intelligence in China could be a solid growth driver.
The company's e-commerce business has also seen a solid turnaround. Alibaba invested to grow Taobao and Tmall's gross merchandise value, and now it's better monetizing its platforms through new software fees and AI tools. It's also just started with new initiatives to help further drive growth, including offering one-hour delivery and embedding shoppable Taobao links in posts on the popular Chinese Rednote app. In addition, the company continues to grow and scale out its international e-commerce segment, and it expects it to turn profitable soon.
Alibaba is still in the midst of its turnaround story, and at its current valuation there's a lot of upside if it continues to execute.
3. E.l.f. Beauty
A sudden slowdown in growth last quarter has put e.l.f. Beauty's (NYSE: ELF) stock on the sales rack. However, its pending acquisition of Rhode looks like it could be transformative. E.l.f. has already been one of the biggest winners in the mass-market cosmetics space, and now it's adding a fast-growing premium brand to its portfolio.
Rhode generated $212 million in sales over the past year with barely any paid marketing, a limited product lineup, and selling only through its website. That's impressive.
Rhode was already set to enter Sephora stores, and now e.l.f. will have the opportunity to plug Rhode into its existing retail relationships, including those with Ulta Beauty and Target, while ramping up product development and marketing. Hailey Bieber remains onboard as chief creative officer, which should help maintain brand momentum as the product line expands.
The strategy is smart. Premium skincare brands such as Rhode are simply going to have better margins than mass-market color cosmetics. This is a big opportunity for the company going forward and a reason to own the stock long term.
4. JAKKS Pacific
Toy company JAKKS Pacific (NASDAQ: JAKK) has quietly become one of the best turnaround stories in consumer products. Under CFO John Kimble -- formerly of Mattel and Disney -- the company has streamlined operations, improved operating margins, and returned to consistent profitability. Shares are up more than 200% over the past five years, but down 30% this year on tariff worries. The result is that the stock trades at just 8.5 times 2025 analyst earnings per share estimates and 6 times the 2026 consensus.
And it's not like the company is struggling. Sales jumped 26% in Q1, fueled by licensed products tied to Sonic the Hedgehog 3 and Disney's Moana 2. That momentum should continue with toy and costume launches tied to Dog Man, Minecraft, and Paw Patrol. A weak kids' movie calendar hurt last year, but that headwind has flipped.
JAKKS is also making smart moves outside of toys and costumes. It signed a deal with Authentic Brands to create not only toys but also seasonal outdoor products tied to lifestyle brands like Roxy, Quiksilver, and Juicy Couture. This could help diversify revenue and reduce the company's seasonality.
With strong licensing, operational discipline, and a rock-solid balance sheet (zero debt), JAKKS is a cash-generating small-cap that still looks mispriced.
5. Cava Group
Despite its strong results over the past year, Cava Group (NYSE: CAVA) stock is down nearly 50% off its highs, giving investors a solid entry point. The restaurant operator is doing for Mediterranean food what Chipotle did for Tex-Mex -- building a fast-casual empire. Same-store sales have now climbed double-digits for four straight quarters, and last quarter's 10.8% comp was driven mostly by traffic gains.
Newer menu items like fresh juices and grilled steak are lifting average tickets, while its loyalty program is helping bring guests back. With fresh, fast, customizable, and healthy food, Cava has all the right ingredients to be the next Chipotle.
The big story, though, is still store expansion. With fewer than 400 locations at the end of Q1 and a target of 1,000 by 2032, Cava has a long growth runway. It's expanded from the coasts into the Midwest, opening in Chicago and Detroit, and early results look strong.
Given the growth in front of it, Cava is a stock to own over the long haul.
Should you invest $1,000 in Amazon right now?
Before you buy stock in Amazon, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Amazon 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 $674,281!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,050,415!*
Now, it’s worth noting Stock Advisor’s total average return is 1,058% — 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.
*Stock Advisor returns as of July 15, 2025
John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Geoffrey Seiler has positions in JAKKS Pacific and e.l.f. Beauty. The Motley Fool has positions in and recommends Adobe, Amazon, Apple, Chipotle Mexican Grill, Target, Ulta Beauty, Walt Disney, and e.l.f. Beauty. The Motley Fool recommends Alibaba Group and Cava Group and recommends the following options: short June 2025 $55 calls on Chipotle Mexican Grill. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Got $1,000? 5 Stocks to Buy Now While They're On Sale

Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in Humana Inc. (Symbol: HUM), where a total of 7,081 contracts have traded so far, representing approximately 708,100 underlying shares. That amounts to about 46% of HUM's average daily trading volume over the past month of 1.5 million shares. Especially high volume was seen for the $240 strike call option expiring August 01, 2025, with 627 contracts trading so far today, representing approximately 62,700 underlying shares of HUM. Below is a chart showing HUM's trailing twelve month trading history, with the $240 strike highlighted in orange:
e.l.f. Beauty Inc (Symbol: ELF) saw options trading volume of 8,381 contracts, representing approximately 838,100 underlying shares or approximately 44.6% of ELF's average daily trading volume over the past month, of 1.9 million shares. Especially high volume was seen for the $114 strike call option expiring July 18, 2025, with 1,454 contracts trading so far today, representing approximately 145,400 underlying shares of ELF. Below is a chart showing ELF's trailing twelve month trading history, with the $114 strike highlighted in orange:
And Cardinal Health, Inc. (Symbol: CAH) options are showing a volume of 10,891 contracts thus far today. That number of contracts represents approximately 1.1 million underlying shares, working out to a sizeable 44.3% of CAH's average daily trading volume over the past month, of 2.5 million shares. Especially high volume was seen for the $160 strike put option expiring July 18, 2025, with 2,464 contracts trading so far today, representing approximately 246,400 underlying shares of CAH. Below is a chart showing CAH's trailing twelve month trading history, with the $160 strike highlighted in orange:
For the various different available expirations for HUM options, ELF options, or CAH options, visit StockOptionsChannel.com.
Top Stocks Held By Ken Fisher
EMO Historical Stock Prices
Institutional Holders of GEM
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Noteworthy Tuesday Option Activity: HUM, ELF, CAH

Key Points
Amazon has grown to become one of the world's largest companies because it isn't afraid to innovate and it invests to win.
Dutch Bros and Cava are two of the best restaurant expansion stories out there.
Philip Morris International transformed its business with an acquisition, and e.l.f. Beauty is looking to do the same.
When it comes to consumer-facing businesses with long-term growth potential, a few companies stand out. While technology stocks get a lot of attention, and deservedly so, the consumer space is also full of solid companies with long growth trajectories.
Here's a look at five consumer-focused stocks built for growth to buy and hold for the the long haul.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »
Amazon
There is a reason why Amazon (NASDAQ: AMZN) has grown to become one of the world's largest companies: It isn't afraid to innovate and it invests to win. Years of heavy investment in logistics and automation continue to pay off, and artificial intelligence (AI) is only making the company more efficient. The company has built out a regionalized fulfillment network designed to cut shipping distances and reduce costs, and now it is using AI to enhance this even more.
The company is using AI to predict the best routes and even to make it easier for drivers to navigate complex drop-offs at places like large apartment buildings. It's also using AI to predict the best warehouses to store items in order to reduce shipping mileage and times. On top of that, it has invested heavily in robots, that with advancements in AI are now able to take on increasingly complex tasks. Its robots aren't just moving boxes and lifting heavy items, some have a sense of touch and can grab items in tough-to-reach places and others can spot damaged items, helping the company save money on costly returns.
At the same time, Amazon continues to be a cloud computing leader with Amazon Web Services (AWS). It has created software tools that make it easy for developers to build and deploy AI models and tools, while the company has also developed its own proprietary chips for AI training and inference that give it a cost advantage over off-the-shelf graphics processing units (GPUs).
Put it all together, and Amazon is building one of the most powerful and defensible platforms on the planet.
e.l.f. Beauty
e.l.f. Beauty (NYSE: ELF) already rewrote the playbook on mass-market cosmetics, taking massive share over the past few years. Now, the company is going the premium route with its acquisition of Rhode, and the upside is substantial. Rhode has grown to $212 million in sales over the past year with minimal distribution and almost no paid marketing. Plug that into e.l.f.'s distribution network, which includes strong relationships with retailers like Ulta Beauty and Target, and it should be able to take the brand to new heights.
Rhode brings with it higher price points and a strong skincare portfolio. That complements e.l.f.'s mass-market cosmetic lines and opens up cross-sell opportunities, as it's common in the beauty industry for consumers to use both prestige and mass products. Meanwhile, Hailey Bieber will stay on as chief creative officer, and e.l.f. will surely want to ramp up Rhode's product offerings.
E.l.f. has already shown it knows how to gain share in a crowded market. It continues to expand internationally, and it should have opportunities in other adjacent markets down the road, like fragrance. With its brand-building track record and influencer marketing, e.l.f. has plenty of growth ahead.
Dutch Bros
One of the best themes to invest in in the consumer space is expansion, and Dutch Bros (NYSE: BROS) has a big opportunity in front of it. The company now has over 1,000 locations and a clear roadmap to grow that to 7,000 over time. But this isn't just an expansion story, as Dutch Bros is also seeing strong traction with same-store sales, which climbed 4.7% last quarter.
The company just rolled out mobile ordering, which should boost throughput, and it is finally looking to roll out more food options, an area where it's been notably absent. Breakfast is a massive category, and Dutch Bros has acknowledged that not offering food items during this important daypart has likely cost it sales. If its food pilot proves successful, it could be a significant driver of same-store growth.
Between new food offerings and expansion, this is a stock to own for the long haul.
Cava Group
Another great restaurant expansion story in progress right now is Cava Group (NYSE: CAVA). The company is replicating what Chipotle Mexican Grill did a decade ago with Tex-Mex, but with Mediterranean food. Its Mediterranean-focused menu is fresh, healthy, and customizable, and consumers are responding. The company has posted four straight quarters of double-digit same-store sales growth, including a 10.8% gain last quarter, powered largely by a 7.5% jump in traffic.
The introduction of grilled steak to its menu last year was a game changer, and its menu continues to evolve and improve. Its added higher-margin items like fresh juices, and add-ons are already boosting average tickets. Cava is also experimenting with new dishes and a loyalty program to keep customers coming back.
The big story, though, is still geographic expansion. With under 400 locations at the end of last quarter and a target of 1,000 by 2032, Cava's growth runway is wide open. Its "coastal smile" expansion strategy has worked well, and now it's starting to enter major Midwest markets like Chicago and Detroit.
Cava has plenty of growth in front of it.
Philip Morris International
Philip Morris International (NYSE: PM) is executing one of the most successful consumer product transitions in recent memory. While other tobacco companies are struggling trying to manage declining cigarette volumes, Philip Morris is growing thanks to its smokeless portfolio, led by Zyn and Iqos. These products don't just appeal to consumers looking for alternatives, they also carry much better unit economics than traditional cigarettes.
Zyn has become the breakout nicotine pouch brand in the U.S., with volumes up over 50% last quarter. The company acquired the brand when it bought Swedish Match in 2022, in what has to be one of the best deals in the consumer space over the past several years.
Meanwhile, Iqos continues to take share overseas, especially in Europe and Japan, and is making inroads in newer markets like Mexico City and Jakarta. The company also bought back the U.S. rights to Iqos, giving it another potential growth driver in one of the world's biggest markets.
At the same time, Philip Morris still runs a profitable legacy cigarette business overseas, where pricing remains strong and volumes are more stable. Importantly, the company typically uses local manufacturing, including with Zyn, meaning it faces little tariff risk.
All in all, Philip Morris is a great growth stock in a defensive industry.
Should you invest $1,000 in Amazon right now?
Before you buy stock in Amazon, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Amazon 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 $694,758!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $998,376!*
Now, it’s worth noting Stock Advisor’s total average return is 1,058% — a market-crushing outperformance compared to 180% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of July 7, 2025
John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Geoffrey Seiler has positions in Philip Morris International and e.l.f. Beauty. The Motley Fool has positions in and recommends Amazon, Chipotle Mexican Grill, Target, Ulta Beauty, and e.l.f. Beauty. The Motley Fool recommends Cava Group, Dutch Bros, and Philip Morris International and recommends the following options: short June 2025 $55 calls on Chipotle Mexican Grill. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

5 Growth Stocks to Buy and Hold Forever

While technology stocks get all the press, there are also some great growth stocks in the consumer products space. Let's look at five of my favorites in the sector to buy right now.
1. Amazon
Amazon (NASDAQ: AMZN) remains the dominant player in e-commerce, where it's been leveraging artificial intelligence (AI) to improve varied tasks ranging from logistics to ad targeting. Sponsored ads have become a key growth driver for the company, and AI is helping advertisers better target and convert potential buyers. This is a high-margin business that's growing strongly.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »
Management has even created AI-powered robots that not only lift and sort packages but also identify damaged items to cut down on returns. All of these AI investments are already paying off, driving strong operating leverage across its retail segment.
Meanwhile, the company's Amazon Web Services (AWS) cloud computing unit is its biggest profit center, and demand continues to surge. Customers are using AWS tools like Bedrock and SageMaker to build their own AI apps and models, and then run them on Amazon's infrastructure.
The company is investing heavily to meet growing demand, building new data centers and developing its own custom chips like Trainium and Inferentia to give customers performance and cost advantages.
Despite the stock's recent rebound, its valuation is still reasonable given the growth Amazon is seeing in both its core retail operations and AWS.
2. e.l.f. Beauty
E.l.f. Beauty (NYSE: ELF) just took a big swing with its $1 billion acquisition of Rhode, the skincare brand started by Hailey Bieber. Rhode did $212 million in sales over the past year with just a handful of items and limited paid marketing.
With that kind of traction, the opportunity to scale it up across retailers is significant. Sephora was already slated to start selling Rhode products, and e.l.f. brings strong relationships with retailers like Target and Ulta to the table.
The timing of the acquisition could not be better. After a red-hot run through the first three quarters of its last fiscal year, e.l.f. saw fourth-quarter sales growth slow to 4%. Tariff concerns also loom due to its China-based manufacturing.
But with Rhode soon to be in the mix, e.l.f. has a premium brand with room to grow both its assortment and distribution. That's a powerful combination.
Buying into a consumer brand right before it scales up distribution is typically a good move. With strong retail partnerships, a proven marketing playbook, and now a premium brand to work with, e.l.f. looks positioned for its next growth phase.
3. Dutch Bros
Dutch Bros (NYSE: BROS) has one of the best growth runways in the restaurant space. With just over 1,000 locations in 18 states, it's still in the early innings of expansion. The drive-thru coffee chain is targeting 2,029 shops by 2029 and sees the potential for 7,000 locations across the U.S.
But it's not just about opening new stores; its comparable-store sales (comps) have been strong, too. Last quarter, systemwide comps rose 4.7%, and comps in company-owned stores climbed 6.9%.
Mobile ordering and food give Dutch Bros even more upside potential. Digital transactions accounted for 11% of sales last quarter, while food remains under 2% of the mix. That compares to food representing 19% of sales at Starbucks, so the gap is large. Early tests of its expanded food offerings have been encouraging.
Between its expansion and comps growth opportunities, Dutch Bros looks like a high-upside name worth holding for the long term.
4. Philip Morris International
Philip Morris International (NYSE: PM) is the best story in the tobacco space. Unlike most tobacco companies, Philip Morris doesn't sell cigarettes in the U.S., which insulates it from the secular volume declines seen in that market. Throw in stable overseas cigarette volumes, solid pricing power, and a localized manufacturing base that limits tariff risk, and you have a strong core business.
Meanwhile, it's leaning into products like its nicotine pouch Zyn and heated tobacco product Iqos to drive growth. Best of all, both have better unit economics than traditional cigarettes.
Zyn continues to be the standout, with U.S. volumes up 53% in the first quarter. And Iqos is seeing strong traction in Europe and Asia and early success in newer markets like Seoul; Mexico City; and Jakarta, Indonesia.
With its recent buyback of U.S. Iqos rights from Altria, Philip Morris also can now bring the product stateside. That could be a major growth driver in the years ahead.
5. JAKKS Pacific
JAKKS Pacific (NASDAQ: JAKK) has been one of the toy industry's best turnaround stories. After hiring former Disney and Mattel executive John Kimble as chief financial officer, the company has reshaped its operations, returned to profitability, and delivered a roughly 140% return over the past five years. Despite that, it still trades at a forward price-to-earnings ratio (P/E) of just 6.3 times 2026 analyst estimates and has no debt on its balance sheet.
A weak slate of kids' movies early last year hurt the stock, but movie-related momentum has been picking up. Sonic 3 and Moana 2 both performed well at the box office, and JAKKS' tie-ins to the movies helped power a 26% increase in sales in the first quarter.
Also, the company has launched toys and costumes for the Dog Man and Minecraft movies, which were released earlier this year, and it has secured the costume rights for the upcoming Paw Patrol movie next year.
Beyond licensed intellectual property, the company is also building its non-licensed portfolio and expanding into evergreen categories like beach and outdoor gear. Its deal with Authentic Brands to produce items under the Roxy and Quiksilver labels is a step in this direction.
With an improved content slate, a growing non-licensed business, and a dirt cheap valuation, JAKKS is an under-the-radar name worth a look for value-focused investors.
Should you invest $1,000 in Amazon right now?
Before you buy stock in Amazon, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Amazon 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 $713,547!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $966,931!*
Now, it’s worth noting Stock Advisor’s total average return is 1,062% — a market-crushing outperformance compared to 177% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of June 23, 2025
John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Geoffrey Seiler has positions in JAKKS Pacific, Philip Morris International, and e.l.f. Beauty. The Motley Fool has positions in and recommends Amazon, Target, Ulta Beauty, Walt Disney, and e.l.f. Beauty. The Motley Fool recommends Dutch Bros and Philip Morris International. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

My 5 Favorite Stocks to Buy Right Now

Below is Validea's guru fundamental report for ELF BEAUTY INC (ELF). Of the 22 guru strategies we follow, ELF rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ELF BEAUTY INC (ELF) is a mid-cap growth stock in the Personal & Household Prods. industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO:
PASS
RETURN ON ASSETS:
PASS
CASH FLOW FROM OPERATIONS TO ASSETS:
PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS:
PASS
RETURN ON ASSETS VARIANCE:
PASS
SALES VARIANCE:
FAIL
ADVERTISING TO ASSETS:
PASS
CAPITAL EXPENDITURES TO ASSETS:
PASS
RESEARCH AND DEVELOPMENT TO ASSETS:
FAIL
Detailed Analysis of ELF BEAUTY INC
ELF Guru Analysis
ELF Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
Additional Research Links
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

ELF Quantitative Stock Analysis

While some volatility has reentered the market due to rising hostilities in the Middle East, this can still be a good time to invest in some growth stocks for the long term.
Let's look at 10 monster growth stocks to buy for the long haul.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
1. Nvidia
Nvidia (NASDAQ: NVDA) has been one of the market's biggest winners, as its graphics processing units (GPUs) have become the backbone of artificial intelligence (AI) infrastructure. That should continue as its CUDA software program has created a wide moat, helping it attain a 92% market share in the GPU space in the first quarter. With AI infrastructure demand continuing to rise, Nvidia is well-positioned for years of continued growth.
Biggest risk: A slowdown in AI infrastructure spending.
2. Broadcom
While Broadcom (NASDAQ: AVGO) is seeing strong growth from its networking portfolio, its biggest opportunity lies in helping customers develop custom AI chips. It projects that its three furthest along customers in this area will be a $60 billion to $90 billion market opportunity in fiscal 2027 alone. Meanwhile, it has added other big customers since then, including Apple.
Biggest risk: A slowdown in AI infrastructure spending.
3. Taiwan Semiconductor Manufacturing
Taiwan Semiconductor Manufacturing (NYSE: TSM) is the world's leading contract semiconductor manufacturer, producing chips for companies like Nvidia and Broadcom. Its technological expertise and scale have made it an invaluable part of the semiconductor value chain, allowing it to increase prices and expand margins. As AI infrastructure spending and other chip consumption grows, TSMC is set to be one of the biggest winners in the years ahead.
Biggest risks: A slowdown in AI infrastructure spending and/or Intel being a more viable competitor.
4. Palantir Technologies
Originally a data-gathering and analytics company serving the U.S government, Palantir Technologies' (NASDAQ: PLTR) AI platform (AIP) has been gaining strong momentum in the U.S. commercial sector. The platform helps organizations gather data from a variety of sources and organize it into an "ontology" that connects the data to real-world assets and processes. This allows its customers to then use AI to solve complex, real-world problems. AIP is being used in a wide array of industries, which gives Palantir a huge growth runway ahead.
Biggest risks: A high valuation and budget cuts at the U.S. government.
5. Alphabet
Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG) is not only a leader in search, but it's seeing strong growth in its cloud computing and robotaxi businesses as well. Meanwhile, as the world moves toward AI-powered search, the company has huge distribution and ad network advantages. Alphabet's AI capabilities and ability to monetize content also should not be underestimated. While some see AI as a risk, more likely than not, it will be a growth driver for the company in the coming years.
Biggest risks: AI disrupts its search business and harsh penalties from its antitrust trial.
6. Amazon
Amazon (NASDAQ: AMZN) is the market leader in both e-commerce and cloud computing. AWS continues to be its biggest growth driver, and the company is investing heavily in the business to capture the AI opportunity in front of it. At the same time, it's using AI to drive efficiencies and lower costs in its e-commerce operations, helping boost profitability.
Biggest risks: A slowdown in consumer spending and overbuilding its data center infrastructure.
7. Pinterest
Under the leadership of CEO Bill Ready, Pinterest (NYSE: PINS) has spent the last few years investing heavily to help transform its platform into one that is both more engaging and shoppable. Some of the newest features that have been rolled out to help support this vision are visual search and personalized recommendations. This has helped Pinterest not only grow its users, but more importantly, to start better monetizing them. Meanwhile, its new Performance+ solution, which integrates AI tools and automation to help advertisers run better campaigns, is expected to be a growth driver moving forward.
Biggest risks: A slowdown in consumer spending and lower ad budgets.
8. Philip Morris International
A growth stock in a defensive industry, Philip Morris International (NYSE: PM) is being led by its portfolio of smokeless products that includes the nicotine pouch Zyn and premium heated tobacco product Iqos. Best of all, these products have better unit economics than traditional cigarettes. Meanwhile, since it does not sell its cigarettes in the U.S., this business has held up well, with modest volume growth and strong pricing power. With Zyn a hit and Iqos set to be rolled out in the U.S., Philip Morris has solid growth ahead of it.
Biggest risks: International markets begin to see volume declines like the U.S. and a failed launch of Iqos in the U.S.
9. Dutch Bros
Dutch Bros (NYSE: BROS) has one of the most compelling growth stories in the restaurant space. It's been seeing solid same-store sales growth, but it really has an opportunity to accelerate that with the introduction of mobile ordering and the rollout of more food items on its menu. At its heart, though, Dutch Bros is an expansion story, and it has a huge runway on this front over the next decade.
Biggest risk: The concept fails to resonate with consumers outside its core Western U.S. region.
10. e.l.f. Beauty
e.l.f. Beauty (NYSE: ELF) has been one of the fastest-growing cosmetic brands in the mass-market space over the past several years, taking considerable market share away from established players. However, when growth suddenly started to slow last quarter, the company took bold action and bought Hailey Bieber's emerging Rhode brand. Despite Rhode's huge success, it has a minimal product lineup, distribution, and marketing budget. This should give e.l.f. plenty of opportunity to grow the brand in the coming years.
Biggest risks: Tariffs and the Rhode brand's popularity fades under its umbrella.
Should you invest $1,000 in Nvidia right now?
Before you buy stock in Nvidia, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia 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 $659,171!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $891,722!*
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*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. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Geoffrey Seiler has positions in Alphabet, Philip Morris International, Pinterest, and e.l.f. Beauty. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple, Intel, Nvidia, Palantir Technologies, Pinterest, Taiwan Semiconductor Manufacturing, and e.l.f. Beauty. The Motley Fool recommends Broadcom, Dutch Bros, and Philip Morris International and recommends the following options: short August 2025 $24 calls on Intel. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.

10 Monster Stocks to Hold for the Next 10 Years

While there is still some uncertainty in the market related to tariffs, the U.S. economy, and a new conflict in the Middle East, now can still be a good time to invest in growth stocks. Investors just need to take a more cautious approach by investing smaller amounts, say $1,000, and then look to add to their positions later if the stocks dip in price.
Let's look at five growth stocks investors might want to begin accumulating shares in right now with a $1,000 initial investment.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »
1. Nvidia
Nvidia (NASDAQ: NVDA) remains the clear leader in powering the artificial intelligence (AI) infrastructure buildout. With its powerful parallel processing capabilities, Nvidia's graphic processing units (GPUs) have become the main chips used to run AI workloads. Nvidia's real moat isn't its powerful chips, however -- it's CUDA, its proprietary software platform that developers have been trained on for nearly two decades. Over time, Nvidia layered on CUDA X, a collection of AI tools and libraries that make its chips even more efficient for AI tasks.
This combination of dominant hardware and sticky software helped Nvidia capture over 90% of the GPU market in the first quarter. As AI demand surged, Nvidia's data center revenue exploded, growing more than 9x in two years. That momentum shows no signs of slowing. Nvidia's new Blackwell chips are ramping faster than any product in the company's history, and demand for its full-stack AI "factories" continues to accelerate. In addition, it's gaining traction with automakers, offering a second potential growth engine.
While a slowdown in data center spending is a risk, Nvidia remains the best way to invest in the AI infrastructure buildout.
2. Taiwan Semiconductor Manufacturing
Taiwan Semiconductor Manufacturing (NYSE: TSM), more commonly known as TSMC, has quietly become one of the most important companies in the world. As the go-to manufacturer for advanced AI chips, it's playing a critical role in the AI infrastructure buildout. While Nvidia designs chips, TSMC is the one actually making them, and few other companies have its capabilities in this area.
TSMC's chip manufacturing expertise is paying off. Efficiently making advanced semiconductors at scale is a difficult business that requires not only manufacturing expertise but also technological know-how. Chips for high-performance computing now make up nearly 60% of TSMC's business, and demand remains strong.
TSMC continues to work closely with key customers like Nvidia to expand future capacity, which should help extend its lead. There are some near-term margin pressures from its U.S. fab ramp-up, but the company is already raising prices to help offset that and looks poised to be a long-term AI winner.
3. Pinterest
Pinterest (NYSE: PINS) has undergone a meaningful transformation over the past few years. The company has embraced AI and leaned into making the platform more shoppable, which is starting to pay off. Engagement is up, average revenue per user (ARPU) is improving, and the company is finally starting to better monetize its massive international user base through the help of a partnership with Alphabet's Google.
The company's turnaround is a direct result of its new AI solutions, both on the front end and back end. Pinterest has invested heavily in AI-driven personalization, visual search, and recommendation systems, all of which are helping improve user engagement. Meanwhile, on the back end, its Performance+ solution integrates AI tools and automation to help advertisers run more effective campaigns and improve conversions.
While the company is not immune to an economic and ad market slowdown, with a huge user base and growing momentum, Pinterest has strong upside in front of it.
4. Eli Lilly
Eli Lilly (NYSE: LLY) continues to be one of the biggest winners from the explosive growth in GLP-1 drugs. Last quarter, its Mounjaro and Zepbound drugs drove a combined $6.1 billion in revenue, with Zepbound surging from just $517 million a year ago to $2.3 billion. The momentum behind GLP-1s shows no signs of slowing, and Lilly's expanding international rollout of Mounjaro should keep that trend intact.
The bigger story for Lilly, though, could be orforglipron. The company's next-generation, oral GLP-1 drug cleared its first phase 3 trial and showed promising weight loss results. The drug has a couple of important advantages over most other GLP-1 drugs on the market. The first is that it is an oral medication, while the most effective GLP-1 weight loss drugs currently on the market are all injectables requiring a needle. Unlike injectable drugs, it also doesn't require injectable pens or need cold storage. So not only will the drug benefit from patients preferring pills to injections, but it's also easier to manufacture, ship, and scale.
While pricing pressure from pharmacy benefit managers is a risk, Lilly's pipeline, strong GLP-1 portfolio, and manufacturing scale position it well for continued strong growth.
5. e.l.f. Beauty
e.l.f. Beauty (NYSE: ELF) is entering a new phase of growth following its $1 billion acquisition of Rhode, the skincare and cosmetics brand launched by Hailey Bieber. The deal gives e.l.f. a fast-growing, premium-priced brand that generated $212 million in sales over the past year despite Rhode only selling around 10 products through its website and having limited paid marketing.
The acquisition is well timed, as e.l.f.'s growth cooled in fiscal Q4, with sales up just 4% year over year after surging 40% through the first nine months of the year. Meanwhile, with the majority of its products made in China, it also faces tariff pressures.
That said, the Rhode acquisition should be a powerful growth engine for the company moving forward. With a limited product assortment and distribution, e.l.f. will have a huge opportunity to expand both. Rhode was already set to begin selling its products at Sephora later this year, while e.l.f. has strong relationships with retailers Ulta Beauty and Target.
One of the best times to buy a consumer brand is when it's about to increase its distribution, so this is a great opportunity to buy e.l.f. shares.
Should you invest $1,000 in Nvidia right now?
Before you buy stock in Nvidia, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia 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 $658,297!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $883,386!*
Now, it’s worth noting Stock Advisor’s total average return is 992% — a market-crushing outperformance compared to 172% 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 June 9, 2025
Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Geoffrey Seiler has positions in Alphabet, Pinterest, and e.l.f. Beauty. The Motley Fool has positions in and recommends Alphabet, Nvidia, Pinterest, Taiwan Semiconductor Manufacturing, Target, Ulta Beauty, and e.l.f. Beauty. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.

5 Growth Stocks to Invest $1,000 in Right Now

Investors interested in stocks from the Waste Removal Services sector have probably already heard of H20 (HTO) and Casella (CWST). But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
H20 and Casella are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This means that HTO's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle for value investors.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
HTO currently has a forward P/E ratio of 17.81, while CWST has a forward P/E of 110.97. We also note that HTO has a PEG ratio of 4.11. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CWST currently has a PEG ratio of 4.31.
Another notable valuation metric for HTO is its P/B ratio of 1.3. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, CWST has a P/B of 4.83.
These metrics, and several others, help HTO earn a Value grade of B, while CWST has been given a Value grade of D.
HTO has seen stronger estimate revision activity and sports more attractive valuation metrics than CWST, so it seems like value investors will conclude that HTO is the superior option right now.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
H2O America (HTO) : Free Stock Analysis Report
Blackstone Inc. (BX) : Free Stock Analysis Report
Eli Lilly and Company (LLY) : Free Stock Analysis Report
Trimble Inc. (TRMB) : Free Stock Analysis Report
Merit Medical Systems, Inc. (MMSI) : Free Stock Analysis Report
Informatica Inc. (INFA) : Free Stock Analysis Report
Casella Waste Systems, Inc. (CWST) : Free Stock Analysis Report
OSI Systems, Inc. (OSIS) : Free Stock Analysis Report
NVR, Inc. (NVR) : Free Stock Analysis Report
DBS Group Holdings Ltd (DBSDY) : Free Stock Analysis Report
Sterling Infrastructure, Inc. (STRL) : Free Stock Analysis Report
e.l.f. Beauty (ELF) : Free Stock Analysis Report
Duolingo, Inc. (DUOL) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at www.zacks.com.

HTO or CWST: Which Is the Better Value Stock Right Now?

Investors with an interest in Technology Services stocks have likely encountered both Vontier Corporation (VNT) and Duolingo, Inc. (DUOL). But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, both Vontier Corporation and Duolingo, Inc. are sporting a Zacks Rank of #2 (Buy). Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. But this is just one factor that value investors are interested in.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
VNT currently has a forward P/E ratio of 11.60, while DUOL has a forward P/E of 163.72. We also note that VNT has a PEG ratio of 1.24. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. DUOL currently has a PEG ratio of 3.64.
Another notable valuation metric for VNT is its P/B ratio of 4.75. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, DUOL has a P/B of 24.31.
These metrics, and several others, help VNT earn a Value grade of B, while DUOL has been given a Value grade of F.
Both VNT and DUOL are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that VNT is the superior value option right now.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Vontier Corporation (VNT) : Free Stock Analysis Report
Blackstone Inc. (BX) : Free Stock Analysis Report
Eli Lilly and Company (LLY) : Free Stock Analysis Report
Trimble Inc. (TRMB) : Free Stock Analysis Report
Merit Medical Systems, Inc. (MMSI) : Free Stock Analysis Report
Informatica Inc. (INFA) : Free Stock Analysis Report
OSI Systems, Inc. (OSIS) : Free Stock Analysis Report
NVR, Inc. (NVR) : Free Stock Analysis Report
DBS Group Holdings Ltd (DBSDY) : Free Stock Analysis Report
Sterling Infrastructure, Inc. (STRL) : Free Stock Analysis Report
e.l.f. Beauty (ELF) : Free Stock Analysis Report
Duolingo, Inc. (DUOL) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at www.zacks.com.