Top 8 Growth Stocks – June 2023

For those who read our previous monthly stock recommendation, the stock market had a solid month in May. Our writers and researchers at The Markets Watch have created a list of monthly stock opportunities for traders and buy-and-hold investors wanting to purchase excellent firms at even better prices.

Crypto Cash Flow — How To Buy & Sell Cryptocurrency, NFTs and Nodes

The proof of our team's experience is persuasive when you take a look at some of our stock recommendations from the previous month. In May:

1.Palantir saw a 74%+ increase.

2.Nvidia saw an increase of more than 34%.

3.Over 30% more Crowdstrike Holdings were acquired.

4.Shopify increased by more than 19%.

Last month, readers who followed our suggestions received a phenomenal 57% return thanks to our insights and articles about these stocks.

Growth stocks drive the price of institutional ETFs compiled by Goldman Sachs and Vanguard in all market scenarios, and your portfolio is no different. Although the majority of our suggestions are already commonplace in these ETFs, we have put together this list for investors who want to pick only the top stocks.

Here are eight growth stocks you should buy in June 2023 to take advantage of new market developments including artificial intelligence, the lithium "gold rush," record EV sales, and environmental sustainability.

1.Arbor Metals Corp.

2.Tesla Inc.

3.Kiplin Metals Inc.

4.Microsoft

5.NVIDIA

6.Shopify

7.Intuitive Surgical

8.MercadoLibre

These growth companies are perfect for investors looking for quick returns and long-term stability. Through innovation, market possibilities, integration into industries that are resilient to recessions, and a dedication to portfolio diversification, these businesses are well-positioned to survive future market changes.

For our top selection, Arbour Metals Corp. (TSX-V: ABR, FWB: 432, OTC: ABRMF), our experts have issued a rare "Buy Now" alert as the company is expected to surge tremendously in 2023. The lithium sector is preparing for a bullish spike as the Canadian mineral exploration business is about to make a large lithium discovery in one of its holdings.

1. Arbor Metals Corp.

Arbor Metals (TSX-V: ABR, FWB: 432, OTC: ABRMF) is a mineral exploration company that finds itself in the media spotlight as Canada continues to attract massive investments across the lithium and electric vehicle (EV) sectors. Major media channels like Yahoo Finance, Financial Times, and CNN Business have recently focused on Arbor Metals Corp.’s strategic location in the James Bay region of Quebec.

As automakers aggressively seek lithium suppliers, ambitious projects like Volkswagen's $20 billion lithium-ion battery factory in Ontario portend explosive development for all local lithium mining stocks. Arbour Metals' Jarnet Lithium Project is ideally situated adjacent to the anticipated facility in a lithium-rich area of James Bay in northern Quebec.

There have been many lithium finds in the James Bay area. One outstanding illustration is the lithium trend found on a nearby piece of land that belongs to Patriot Battery Metals (TSX-V: PMET). Since the Jarnet project of Arbour is in the path of this lithium trend, Arbour will be the next to profit from this finding.

These developments motivated Arbour to explore and find fresh lithium deposits on their site using satellite images and infrared surveys. There are great expectations to uncover the additional lithium deposits and share this lithium growth trend with Patriot and other nearby sites thanks to a promising exploration programme that is now under way for 2023.

Following the confirmation of its lithium discovery, Patriot's shares saw a significant increase of over 480% over the previous year. Geologists in the sector are even more confident about a larger discovery on Arbor's site, so analysts anticipate a sharp rise in the price of Arbor's shares in 2023, assuming successful completion of the company's exploration programme.

Arbour is excellent for both short-term gains and long-term investors who want to consistently profit from the expanding EV market because it now has the highest upside potential of all lithium companies.

2.Tesla Inc.

Why not invest in the top EV manufacturer in the world rather than merely its lithium suppliers given the impending growth in the lithium market? The best way to future-proof your portfolio is to double down on investments in both lithium producers and consumers. This is especially true given that lithium stocks are expected to experience tremendous growth in the next years.

Elon Musk published Tesla's (NASDAQ: TSLA) Master Plan Part 3 in March, outlining the company's long-term objective of fostering a sustainable future without endangering the environment. The proposal calls for an enormous investment of $10 trillion, which Musk believes is doable and "not a big number relative to the global economy."

Tesla has previously made large investments in the lithium industry. Musk previously disclosed the company's intention to build a lithium refinery in Corpus Christi, Texas, to strengthen control over its supply chain for producing batteries. An important component of Tesla's EV batteries, battery-grade lithium hydroxide, will be created in this projected $375 million factory.

Musk discussed Tesla's max margin when it reaches full autonomy during the Q&A portion of the 2023 Annual Shareholders' Meeting. Musk estimated an amazing 80% for Tesla's automotive segment and a solid 20-30% for Tesla Energy when asked to predict the company's anticipated peak margin in both its automotive and energy businesses.

By Q1 2023, the company's Model Y will be the best-selling car in the entire globe, proving that Musk's vision is becoming more and more real.

By now, you most likely already own Tesla shares, but why stop there? Increase your earnings by investing more in Tesla and using Arbour Metals' cost-effective lithium supply to create unrivalled profit growth and future-proof your business in the coming decades as the lithium and electric vehicle (EV) industries continue to grow rapidly.

3. Kiplin Metals Inc.

The demand for electricity is rising rapidly as a result of the global move towards electric cars (EVs). Globally, nations are turning to nuclear energy, particularly those that produce oil, to meet this expanding demand while phasing out fossil fuels. As a result, after decades of stagnation, the demand for uranium, a necessary fuel for the nuclear power industry, has significantly increased in the last year. This is seen in the uranium spot price.

Companies like Kiplin Metals Inc. (TSXV: KIP | FWB: 17G1 | OTC: ALDVF), which are ideally situated in uranium-rich regions like Saskatchewan, Canada, stand to benefit the most from the current uranium drilling boom.

In the past, uranium mining businesses like Urano were drawn to the Saskatchewan mining site of Kiplin, which is close to Cluff Lake. The region has a history of producing about 62,000,000 pounds of yellowcake uranium, making it a popular location for other businesses to purchase claims.

Every mining business in the vicinity of Kiplin is still finding rich uranium core samples, and as Kiplin Metals' summer exploration programme begins, analysts believe the company is well-positioned to replicate the success of earlier surrounding companies.

Since there is still a high demand for uranium, Kiplin is well-positioned to benefit from the expanding market and its stock is poised for significant gains.

4. Microsoft Corporation

Growth stocks can help you future-proof your portfolio by doing more than just focusing on industries and commodities that will always be in demand. It also involves finding businesses that were created with the ability to react to market changes. Microsoft (NASDAQ: MSFT) perfectly fulfils these requirements.

In contrast to cloud computing, which wasn't even a notion three decades ago, the internet was still in its infancy. Microsoft developed along with technology. The business is currently a leader in a number of industries, including cloud computing, online ad management, business collaboration, video gaming, and developments and investments in AI. Although still important, the company's Windows operating system division has taken a back seat in light of its recent triumphs.

Let's concentrate on Microsoft's potential in artificial intelligence (AI). It's hardly surprising to see investors keen to bolster their portfolios with AI stocks as AI proliferates into the mainstream. Microsoft just invested $1 billion in OpenAI, the company behind ChatGPT and the AI picture generator Dall-E, making the stock an excellent investment opportunity.

Microsoft's intention and attempts to integrate AI capabilities into its services are clearly communicated by its relationship with OpenAI. Beginning with Azure, a crucial part of Microsoft's business and the second-largest worldwide cloud service provider after Amazon Web Services (AWS), Microsoft is demonstrating its dedication to AI.

By strategically integrating OpenAI's technologies into its platform, Microsoft has established itself as a top platform for businesses wishing to build AI models or integrate them into their daily operations. Microsoft's concentration on creating platforms for AI tools is a wise strategic choice that will probably increase the size of its already sizable enterprise clientele and service offering.

5. NVIDIA Corporation

When it comes to leveraging this new megatrend, NVIDIA (NASDAQ: NVDA) is already at the forefront. By the time OpenAI's ChatGPT is unveiled in late 2022, generative AI will have evolved from a niche technology trend to a potent megatrend that has the ability to transform a wide range of industries by boosting human productivity and creativity.

Market researchers forecast that as the technology permeates sectors from supply chains to mobile applications, the AI sector will increase 20 times and reach roughly $2 trillion by the end of 2030. If you compare this possibility to the oil boom, Nvidia isn't actually drilling for oil; instead, it's providing the tools and equipment needed, which is a safer and more advantageous strategy.

When it comes to powerful graphics processing units (GPUs), which are essential for training AI platforms like ChatGPT and use 10,000 of Nvidia's A100 chips, the company dominates with an amazing 80% market share. Platforms for generative AI will probably need more identical hardware as they develop and update.

Nvidia's A100 graphics cards retail for about $10,000 each, so an increase in demand for AI-related products might materially boost the company's earnings if it integrates AI into its core business. However, according to Alphabet, its most recent fourth-generation TPU-powered supercomputer outperformed Nvidia's A100 by 1.7 times while using less electricity.

This is irrelevant because Alphabet might present Nvidia with more opportunities than threats. The search engine behemoth revealed its A3 supercomputers in May, which are designed to help clients train the most difficult generative AI models. The problem? Nvidia's H100 chips are used by A3, demonstrating the company's technological superiority.

Since the start of 2023, Nvidia's stock price has increased dramatically, demonstrating that the market understands the company's enormous potential in the AI sector. Although some people might think the stock is expensive, Nvidia has a lot going for it that helps to explain the high price.

6. Shopify

Shares of Shopify (NYSE: SHOP) have increased by 55% so far in 2023. Shopify's business and growth trajectory are improving despite persistent price swings.

Shopify has been profitable in five of the seven years since its first public offering, a laudable record in a sector noted for pervasive unprofitability. By narrowing its focus on providing market-leading software and solutions to empower its merchant clients, the company has weathered economic instability, including the difficulties posed by the pandemic.

Shopify made major modifications in response to the shifting environment, such as 20% personnel reductions and the sale of its logistics division to Flexport. While the short-term costs of restructuring and impairment charges are incurred as a result of these adjustments, Shopify will ultimately experience long-term cost reductions and become less reliant on its physical assets.

Shopify earned positive free cash flow and returned to profitability in the first quarter. The company's management anticipates that its cash flow will remain positive for the entire year, underscoring its resiliency.

Despite not often being connected with AI, Shopify has recently released a number of AI solutions. For instance, its Merlin machine-learning engine offers a range of use cases, including fraud detection, revenue forecasting, product categorization, and customer recommendations. Shopify's mobile app also includes Shop.ai, an intelligent chatbot that acts as a shopper's assistant.

Additionally, for targeted ad campaigns, Shopify Audiences, a marketing tool that uses machine learning, enables the creation and exportation of client lists to websites like Pinterest, Facebook, Instagram, and Google. A promising growth opportunity is presented by the adoption of Shopify Audiences by businesses upgrading to Shopify Plus.

Shopify is well-positioned for future success and development thanks to its ongoing commitment to innovation and expansion into AI and upscale categories.

7. Intuitive Surgical

With a whopping 80% market share, Intuitive Surgical (NASDAQ: ISRG) has dominated the surgical robotics sector for more than 20 years. Despite the launch of rival goods by other healthcare organisations, Intuitive Surgical continues to be unmatched.

The growing demand for these systems in both open and minimally invasive procedures is expected to propel the worldwide surgical robotics industry to around $100 billion by the end of the next ten years. Intuitive Surgical is in a good position to benefit from this expansion.

The sector has recently encountered numerous difficulties. Numerous surgical procedures were cancelled or delayed as a result of the COVID-19 outbreak. Case resurgences, particularly in Asia, continue to have an impact on the number of procedures. The implementation of surgical systems has been hampered by rising operational costs for hospitals brought on by inflation and a labour shortage in the medical field.

In spite of these challenges, Intuitive Surgical has raised sales, kept a profit, boosted system installations, and improved client training. Surgical systems and recurrent sources like software, training, and customer support provide the organisation with revenue.

Recurring revenue made up 81% of Intuitive Surgical's $1.7 billion in total revenue in Q1 2023, a 21% rise from the prior quarter. On a currency-neutral basis, total sales increased by 17% year over year, with a net income of $355 million.

Intuitive Surgical saw a 12% rise in the number of da Vinci Systems installed globally compared to the same quarter last year. Even if procedure volume recovery is still ongoing, the company's robust revenue model and continuous growth show the resilience of its industry.

8. Mercado Libre

The dominant Latin American e-commerce and fintech company, MercadoLibre (NASDAQ: MELI), reported its third straight all-time-high quarterly net income in Q1 2023. Due to the company's amazing 58% revenue growth (adjusted for foreign exchange) and its decade-long success, its stock price has increased by 57% this year.

Similar to Amazon's supremacy in the US, MercadoLibre enjoys a similar level of logistical clout throughout Latin America. More than 302 million items were shipped by its shipping division, Mercado Envos, with 77% of them arriving within 48 hours.

This speedy delivery underlines the compelling value proposition of working with MercadoLibre and its enormous logistical network, which has a 93% penetration rate among sellers using Envos' fulfilment and cross-docking solutions.

The estimated value of MercadoLibre lies in between its 18 times free cash flow (FCF) and its 107 price-to-earnings (P/E) ratio. The company's profitability is anticipated to increase even more with the launch of a new advertising console in Q1. It is anticipated that advertising sales, which make up only 1.4% of MercadoLibre's gross merchandise volume (GMV), will rise faster than GMV as a whole, resulting in continued profitability and positive stock returns.