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. On that note, here are three growth stocks with significant upside potential.
Zscaler (ZS)
One-Year Revenue Growth: +24.6%
Pioneering the "zero trust" approach that has fundamentally changed enterprise network security, Zscaler (NASDAQ: ZS) provides a cloud-based security platform that connects users, devices, and applications securely without traditional network-based security hardware.
Why Do We Love ZS?
- ARR trends over the last year show it’s maintaining a steady flow of long-term contracts that contribute positively to its revenue predictability
- Well-designed software integrates seamlessly with other workflows, enabling swift payback periods on marketing expenses and customer growth at scale
- Robust free cash flow margin of 28.1% gives it many options for capital deployment
Zscaler’s stock price of $139.44 implies a valuation ratio of 6.3x forward price-to-sales. Is now a good time to buy? See for yourself in our in-depth research report, it’s free.
DoorDash (DASH)
One-Year Revenue Growth: +31%
Founded by Stanford students with the intent to build “the local, on-demand FedEx", DoorDash (NASDAQ: DASH) operates an on-demand food delivery platform.
Why Is DASH a Good Business?
- Orders have increased by an average of 22.9% annually, giving it the potential for margin-accretive growth if it can develop valuable complementary products and features
- Market share will likely rise over the next 12 months as its expected revenue growth of 25.6% is robust
- Performance over the past three years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 180% outpaced its revenue gains
At $191.75 per share, DoorDash trades at 21.5x forward EV/EBITDA. Is now the time to initiate a position? Find out in our full research report, it’s free.
Celsius (CELH)
One-Year Revenue Growth: +123%
With its proprietary MetaPlus formula as the basis for key products, Celsius (NASDAQ: CELH) offers energy drinks that feature natural ingredients to help in fitness and weight management.
Why Could CELH Be a Winner?
- Annual revenue growth of 56.1% over the last three years was superb and indicates its market share is rising
- Unique products and pricing power result in a stellar gross margin of 50.4%
- Earnings per share grew by 215% annually over the last three years and trumped its peers
Celsius is trading at $30.60 per share, or 18.3x forward P/E. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free.
Stocks We Like Even More
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.
Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE.
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-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
