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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.

Luckily for you, our job at StockStory is to help you avoid short-term fads by pointing you toward high-quality businesses that can generate sustainable long-term growth. Keeping that in mind, here are three growth stocks with significant upside potential.

Procore (PCOR)

One-Year Revenue Growth: +18.6%

Used to manage the multi-year expansion of the Panama Canal that began in 2007, Procore (NYSE:PCOR) offers a software-as-service project, finance, and quality management platform for the construction industry.

Why Do We Like PCOR?

1. Ability to secure long-term commitments with customers is evident in its 18.8% ARR growth over the last year

2. Prominent and differentiated software results in a top-tier gross margin of 81.2%

3. Free cash flow margin is anticipated to expand by 5.8 percentage points over the next year, providing additional flexibility for investments and share buybacks/dividends

Procore is trading at $64.47 per share, or 7.3x forward price-to-sales. Is now the right time to buy? Find out in our full research report, it’s free.

Wingstop (WING)

One-Year Revenue Growth: +31%

The passion project of two chicken wing aficionados in Texas, Wingstop (NASDAQ:WING) is a popular fast-food chain known for its flavorful and crispy chicken wings offered in a variety of sauces and seasonings.

Why Are We Bullish on WING?

1. Average same-store sales growth of 16.9% over the past two years indicates its restaurants are resonating with diners

2. Excellent operating margin of 25.3% highlights the efficiency of its business model

3. Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends

At $271.66 per share, Wingstop trades at 68x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.

BellRing Brands (BRBR)

One-Year Revenue Growth: +18.9%

Spun out of Post Holdings in 2019, Bellring Brands (NYSE:BRBR) offers protein shakes, nutrition bars, and other products under the PowerBar, Premier Protein, and Dymatize brands.

Why Will BRBR Beat the Market?

1. Products are flying off the shelves as its unit sales averaged 20.8% growth over the past two years

2. Earnings per share grew by 28% annually over the last three years, massively outpacing its peers

3. Industry-leading 48.9% return on capital demonstrates management’s skill in finding high-return investments