Growth at a reasonable price is today’s theme as we dial in on a few cheap stocks with illustrious growth potential.
The Invesco S&P 500 GARP ETF (NYSEARCA:SPGP) is up by approximately 13% since the turn of the year. Sure, the index’s year-to-date performance is impressive. However, I think the best is yet to come; here’s why. The U.S. yield curve is drifting lower amid an expected 2024 interest rate pivot, and credit spreads are mild. Combined, these two factors will likely adjust investors’ risk tolerance higher next year and ultimately lead to a significant influx into growth and value stocks. Moreover, large-cap GARP stocks underperformed the S&P 500 this year, meaning a technical buying opportunity could be in play.
With my top-down outlook in mind, I drafted three cheap stocks to buy with growth potential. Let’s discuss each of them in detail.
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