Stock picking is not easy. However, if done right, investors can reap plenty of riches. A well-timed investment can make people millionaires. Consider that $1,000 invested in Google parent company Alphabet (NASDAQ:GOOG/NASDAQ:GOOGL) during its August 2004 initial public offering (IPO) would be worth $1.2 million today, and you get an idea of the benefits that come from choosing the right millionaire-maker stocks. Finding stocks that have the potential to make millionaires out of investors is not easy.
Throughout the last 20 years, it has meant investing mostly in cutting edge technology companies. Of course, tech stocks are not without risks. However, the risk can be worth it if a stock pays out a big enough reward to its stockholders. Finding millionaire-maker stocks with high growth potential, plenty of catalysts and a competitive edge is key. Here are three stocks that could make you a millionaire by 2024.
Meta Platforms (META)
Meta Platforms (NASDAQ:META) appears to have its mojo back, and that’s good news for investors. After a bruising 2022, the Facebook and Instagram parent company has seen its share price gain 145% this year as the company pivots away from the metaverse, cuts costs and focuses more on artificial intelligence (AI). After getting knocked lower by high interest rates, META stock looks to be back in full growth mode, which is why it made our list of millionaire-maker stocks.
The social media giant also just reported financial results that have reignited confidence in the company and its shares. META stock jumped 8% after the company’s Q2 print showed earnings per share of $2.98 versus $2.91 that had been expected by analysts. Revenue in the quarter totaled $32 billion compared to consensus estimates of $31.12 billion, driven by a rebound in digital advertising on its social media platforms. Revenue in Q2 increased 11% from a year ago, the first time the company has reported double-digit growth in that area since the end of 2021. It’s time to buy.
Tesla (TSLA)
A lot of people continue to gripe about Tesla (NASDAQ:TSLA). They complain about the mixed financial results, delayed products such as the overly hyped Cybertruck and say that CEO Elon Musk is too distracted with his other business ventures. However, betting against Tesla has proven to be a losing proposition. Despite all its ups-and-downs, TSLA stock is up more than 900% throughout the past five years. Few other millionaire-maker stocks come close to matching its return. If there’s one stock likely to make you a millionaire, this would be it.
Currently, TSLA stock is in retrenchment mode after the company issued mixed Q2 results. Since mid-July, the company’s share price has pulled back nearly 10%. Investors should view this as a buy-the-dip opportunity. This is especially true since there are many catalysts on the horizon for the stock. These include the launch of the long gestating Cybertruck, as well as plans for Robotaxis and the development of a supercomputer that the company is developing for AI machine learning called “Dojo.”
Nvidia (NVDA)
The important stat to keep in mind with Nvidia (NASDAQ:NVDA) is that the company controls 80% of the market for the microchips that power advanced AI applications. That’s huge and puts Nvidia streets ahead of its competitors. Even its main rival in the AI chip race, Advanced Micro Devices (NASDAQ:AMD), is playing catch-up. With Nvidia pushing full steam ahead on new AI chips that use its advanced technology, the company and its stock should continue powering ahead for many years to come.
Owing to the company’s competitive advantage, NVDA stock has increased nearly 200% year to date, and its share price is up 565% after five years. This spring, the company achieved a $1 trillion market capitalization. While the share price has taken a breather in August along with the broader stock market, investors shouldn’t fret. The company is scheduled to deliver its Q2 print on August 23 and it could prove to be a new catalyst for the stock. The last time Nvidia delivered its financial results, its share price jumped 26% higher.
On the date of publication, Joel Baglole held long positions in GOOGL and NVDA. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.