4 Must-Buy Growth Stocks for $100 Today

The initial part of 2025 has proven to be quite turbulent for investors. In recent months, stock prices have grown more erratic due to rising economic uncertainties. This volatility ultimately resulted in effects for both the Nasdaq Composite and S&P 500 to fall into correction territory earlier this month.

Although it may seem daunting to invest in stocks during these times, savvy investors see this as an opportunity amidst the recent market downturn. Regardless of having just $100 to invest, there are excellent growth stocks available at discounted rates right now. Since many shares cost less than $100 per share, you won’t need to concern yourself with whether your brokerage provides specific tools or functionalities. fractional shares Each of these stocks comes with a pricing that’s highly reasonable and has the potential to be an excellent inclusion for portfolios of all sizes, whether they're modest or substantial.

Start Your Mornings Smarter! Wake up with Breakfast news In your inbox each trading day. Register for Free »

1. Block

Block (NYSE: XYZ) formerly known as Square, initially provided a solution for small retailers to process credit card transactions via a compact accessory connected to their smartphones. Now, it caters to a broader customer base with its most rapidly expanding group being businesses that earn more than $500,000 annually in total sales.

This upward movement into more upscale markets has created opportunities for increased revenue and profit margins via the promotion of additional product offerings. Block has developed a comprehensive system of services tailored for particular segments such as eateries and stores, allowing these entities to oversee all aspects of their operations with Block’s range of software and hardware solutions. This integration makes Block's primary payment processing service considerably more difficult for rivals to displace.

Block also possesses Cash App, a consumer service. fintech This platform seeks to supplant conventional banking institutions. Users of Cash App have the ability to transfer funds to one another, save money in a dedicated savings account, or put their money into stock market investments or cryptocurrencies. In 2022, the company took over Afterpay, a buy-now-pay-later service provider, and has since incorporated this feature into its debit card offering known as the Cash App Card.

Block has effectively enhanced the Cash App with additional features and attracted more users to its revenue-generating offerings such as the Cash App Card. Although these features are gaining traction at an increasing pace, overall user expansion is decelerating significantly. Nonetheless, the firm keeps introducing fresh functionalities and enhancements to the application, which could lead to sustained natural growth and potentially greater monetization levels in the future.

Given its current share price of approximately $63, Block’s stock appears to be quite undervalued. This pricing equates to only about 14 times what financial experts predict its earnings will be in 2025. Notably, this valuation doesn’t account for anticipated increases; earnings per share are projected to rise by 32% this year and an additional 18% next year. Considering Block’s strong prospects for expansion and considering their robust product offerings which have high customer retention rates, investing $100 in this stock seems like a smart move.

2. DraftKings

DraftKings (NASDAQ: DKNG) is among the most prominent online gambling firms specializing in sports betting and interactive gaming In North America, despite heightened competition within the sports betting industry, DraftKings has managed to expand efficiently. The previous year saw them gain an additional 3.5 million new clients, achieving their lowest-ever customer acquisition costs. Currently, they boast more than 10 million customers overall.

This expansion highlights the robustness of DraftKings' brand. Even though well-known platforms like ESPN and Fanatics entered the sports betting market in 2023, DraftKings has continued to see growth. This stands as a significant edge over others. Keeping up this strong brand through targeted partnerships and marketing efforts ought to yield superior outcomes for DraftKings compared to its rivals.

However, DraftKings' size provides it with a substantial edge in terms of data. This information is crucial for a sportsbook as it forms the foundation for all money lines and point spreads. It enables the identification of professional bettors and helps reduce the risk associated with their activities. Additionally, this extensive data aids in developing innovative offerings such as live betting, player prop bets, and same-game parlays. Furthermore, it assists in crafting and directing promotional efforts to maintain user engagement with their services.

DraftKings has made significant investments in data science and technology through various acquisitions in recent years. In the last year alone, they purchased Simplebet, Sports IQ Analytics, and Mustard Golf. These additions enhance their data capabilities and will be integrated into upcoming betting choices.

With a stock price of approximately $39 per share, DraftKings has an enterprise valuation of about 21 times what management anticipates their earnings before interest, taxes, depreciation, and amortization will be in 2025. EBITDA With significant operational efficiency and substantial potential for increasing revenues, the leadership team ought to deliver remarkably robust earnings growth over an extended period ahead. This factor positions DraftKings shares as an excellent choice for those seeking growth opportunities, particularly for individuals ready to invest their $100 at this moment.

3. The Trade Desk

The Trade Desk (NASDAQ: TTD) operates quietly in the background to place ads within your preferred podcasts, video applications, and even the television in your living space. Advertisers favor The Trade Desk due to its sophisticated automation tools that ensure their messages connect effectively with targeted audiences precisely when needed. Furthermore, The Trade Desk maintains an impartial stance towards various advertising channels, setting it apart from numerous major online advertisement platforms. These dual attributes—an exceptional algorithmic system coupled with unbiased channel neutrality—provide it with significant competitive strength.

The growth experienced by The Trade Desk over the past ten years or so has been remarkable—until their latest financial period. They fell short of their projected revenues and forecasted only a 17% increase in Q1 2025, which represents a considerable deceleration. According to management, this dip can be attributed to their shift towards a novel marketing platform known as Kokai. This changeover process appears to have hindered revenue generation temporarily. Nonetheless, they believe that the benefits from adopting the new system will materialize eventually.

The Trade Desk is likely to thrive due to the ongoing expansion of advertisement-funded video streaming platforms. As this sector sees heightened rivalry and high-quality content becomes available through various direct-to-consumerservices, their position will strengthen. streaming services , more and more consumers are opting for the lower-priced ad-supported options and supplementing with free ad-supported streaming television. Both benefit The Trade Desk's most important segment, and should provide a long runway for revenue growth.

For around $60 per share at current prices, The Trade Desk has a forward Price-to-Earnings ratio of approximately 32. This may appear pricey; however, experts anticipate an acceleration in earning growth come 2026 after they complete their platform shift. Future revenue growth looks promising, and operational margins could see significant enhancement through better utilization of fixed expenses. Consequently, that valuation seems likely to be quite reasonable down the line. Thus, those with $100 to invest can comfortably purchase shares of The Trade Desk today.

Is it wise to put $1,000 into Block at this moment?

Before purchasing shares in Block, keep this in mind:

The Motley Fool Stock Advisor The analyst team has just pinpointed what they think could be the 10 best stocks For investors looking to purchase now... Block was not among them. The 10 stocks selected have the potential to generate substantial gains over the next few years.

Consider when Nvidia created this list on April 15, 2005... should you have invested $1,000 following our suggestion, you’d have $697,245 !*

Now, it’s worth noting Stock Advisor ’s overall average return is 845%, which significantly surpasses the market with outstanding performance compared to 165% For the S&P 500 index. Don’t miss out on the most recent top 10 list, which becomes accessible upon joining. Stock Advisor .

Check out the 10 stocks here »

*Stock Advisor performance returns as of March 24, 2025

Adam Levy does not hold any shares in the companies listed above. However, The Motley Fool holds stakes in and endorses Block and The TradeDesk. Additionally, The Motley Fool discloses a conflict of interest. disclosure policy .