growth stock

Reinvestment-focused equity share

A growth stock is a share in a company expected to increase in value faster than the overall market.

These companies typically reinvest profits rather than paying dividends, prioritizing expansion over immediate returns to shareholders.

Growth stocks tend to be riskier but offer higher potential rewards: Tech giants were once growth stocks trading at modest prices.

Contrast with value stock.

Opposites
investment strategy

growth stockvalue stock

Underpriced equity investment

dividend stock · blue chip · bond · fixed income

market behavior

growth stockunderperformer

One missing their targets

Family

growth, stock, grow, grows, grew, grown, growing, grower, growers

Familiarity
Top 500,000
Profile
Used worldwide · Timeless · Abstract · Rated G