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3 Hidden Gem Growth Stocks to Buy Now

Uncovering the stocks that no one is talking about can be a difficult endeavor, which is why we’ve done a bit of the hard work for you. There are 3...

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This story originally appeared on MarketBeat

Under The Radar Growth Names Offering Plenty of Upside

With so many companies to choose from in the stock market, it’s a shame that the financial media tends to heavily focus on just a few well-known names. While it's easy to understand why juggernaut stocks like Apple and Tesla continuously dominate headlines, it’s important for investors to recognize that there is plenty of money to be made in stocks that are flying under the radar too. After all, many of the most popular stocks today were once hidden gems that grew into huge winners for early investors.

Uncovering the stocks that no one is talking about can be a difficult endeavor, which is why we’ve done a bit of the hard work for you. There are 3 hidden gem growth stocks that stand out as potential buys right now, so let’s take a further look at these diamonds in the rough below.

Depositphotos.com contributor/Depositphotos.com - MarketBeat

Impinj Inc (NASDAQ: PI)

Are you familiar with the term “Internet of Things”, or IoT? It refers to the network of physical objects that are embedded with sensors, processing ability, and other technologies that are used to connect and exchange data with other devices over the internet. It’s an important technology for a number of reasons, as it allows us to gather data from the physical world to drive innovation. Impinj Inc is a growing company that develops IoT solutions that can help to deliver the identity, location, and authenticity of a variety of physical items, which is why it should be on your radar.

The company has connected over 50 billion items to date with its RAIN RFID battery-free wireless technology, and with so many companies across all different industries interested in solving business problems with data, Impinj is certainly an intriguing stock. While it’s still an unprofitable company, the fact that Impinj recently beat Q3 earnings estimates and posted revenue of $45.2 million, up 60% year-over-year, tells us that Impinj is heading in the right direction. Investors seem to think so as well, as the stock has rallied over 100% year-to-date.

MP Materials Corp. (NYSE: MP)

Another hidden gem growth stock to consider adding is MP Materials, which is the owner and operator of one of the world’s largest integrated rare earth mining and processing facilities. The company’s Mountain Pass facility is the only major rare earth resource in the entire Western Hemisphere, which means the company has a big advantage in mining these important elements. Rare earth elements play a vital role in the world’s economy, as these materials are used in many different industries including clean energy, robotics, transportation, consumer electronics, and more. That's a big reason why MP Materials stands out as a potential winner.

Perhaps the most intriguing rare earth elements are Neodymium and Praseodymium, which are combined to make NdPr magnets. These rare earth magnets are important for burgeoning technologies like electric vehicles, robotics, wind turbines, and more, which tells us that MP Materials should see strong demand over the year given the long-term growth in those end markets. MP Materials recently posted record quarterly production and sales volume along with record revenue and net income in Q3, which tells us that the company is executing its business strategy at a very high level. With rare earth prices surging and strong secular trends working in this company’s favor, it’s certainly a growth stock to consider adding in the coming weeks.

Pure Storage, Inc. (NYSE: PSTG)

Cloud

data centers are here to stay, and this trend should lead to plenty of long-term winners in the growth space. One standout name to consider is Pure Storage, a company that provides all-flash array storage systems for enterprise data centers. The company’s solutions are helping cloud providers, enterprises, and governments to save storage space and operate their global data infrastructure in the cloud, which is certainly attractive given all of the digital transformations occurring after the pandemic.

Pure Storage is also worth a look thanks to its strong revenue growth, as in Q3 the company posted revenue of $562.7 million, up 37% year-over-year. There’s also a lot to like about how the company recently acquired Portworx, a leading Kubernetes data services platform. The acquisition expands Pure Storage’s hybrid and multicloud services and should lead to even more growth opportunities over the long-term. As more organizations opt for all-flash storage systems versus disk-based systems in data centers, Pure Storage should be nicely positioned to deliver long-term gains for shareholders.

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