2 Potentially Explosive Stocks to Buy in September
Nasdaq Growth investors are always looking for smaller companies that could mimic the long-term gains achieved by stocks like Amazon or Tesla. However, such endeavors are tricky, as even the most promising growth stories can get derailed by unforeseen circumstances, especially in the early stages.
One way to mitigate this issue is to find smaller large-caps with rapid growth, especially those with a positive net income. While that strategy is not a guarantee, Sea Limited (NYSE: SE) and Nu Holdings (NYSE: NU) offer rapid growth, and their depressed stock prices could allow investors to buy in cheaply at current levels.
Sea Limited
Sea Limited is a tech conglomerate that has been facing challenges at its core business, Garena, which develops online games. But the Singapore-based company appears to have finally addressed the issues with this segment.
Garena experienced a 41% annual decline in gaming revenue in the second quarter, in part because its No. 1 mobile game, Free Fire, fell in popularity. This stands in contrast to its e-commerce and financial services segments, which grew revenue at yearly rates of 21% and 53%, respectively, in Q2.