10 High Growth NASDAQ Stocks That Are Profitable in 2024

2. Meta Platforms, Inc. (NASDAQ:META)

5-Year Net Income Growth: 24.69%

5-Year Revenue Growth: 19.06%

TTM Net Income: $51.43 Billion

Number of Hedge Fund Holders: 219

Meta Platforms, Inc. (NASDAQ:META) is another high-growth NASDAQ stock that is profitable in 2024. It is the creator and manager of famous social media platforms, Facebook, Instagram, and WhatsApp, and runs everything related to the social media that we have today.

The strategic edge of the company comes from its huge user base, which makes it impossible for any competitor to challenge its growth. While any tech company can create a social media platform, what they can’t do is drive active users like Meta Platforms, Inc. (NASDAQ:META) does. During the fiscal second quarter of 2024, the company reported more than 3.3 billion active daily users on its social media apps including Facebook, WhatsApp, and others.

Another quality that the company has developed over time is its high rate of Return on Invested Capital (ROIC). We recently saw investor confidence shattering due to a lack of return on AI investment by tech giants. But not with Meta Platforms, Inc. (NASDAQ:META), the company currently has a ROIC of 31%, which is more than 3 times the average of the S&P 500.

If we look at the past 5 years performance we see that the company has grown its bottom line by 25% and top line by 19%. During the second quarter of 2024, it brought in $10.9 billion in free cash flow indicating strong and profitable fundamentals.

Rowan Street Capital stated the following regarding Meta Platforms, Inc. (NASDAQ:META) in its Q2 2024 investor letter:

“We are pleased to report that Meta Platforms, Inc. (NASDAQ:META), our largest position in the fund, has delivered a remarkable performance, +450% since our November 2022 note. Our investment in Meta dates back to 2018, with an average cost basis of approximately $172 per share. Today, the stock trades around $535, reflecting a 3x return over the six-year holding period, equating to a 20% annualized return.

We would like to remind you that achieving these types of returns is never a straight path. From time to time, we might experience volatility — that’s simply part of the investment journey. In fact, wealth creation and volatility go hand in hand. There’s no escaping it; it’s the “price of admission” the market demands. If you take a look at the chart below, you’ll notice the drawdowns META stock has faced over the years, with 2022 standing out as a particularly challenging period, where the stock saw a 75% drop…” (Click here to read the full text)