12 Most Profitable Growth Stocks To Invest In

6. Shopify Inc. (NYSE:SHOP)

5-Year Revenue CAGR: 43.04% 

TTM Net Income: $1.273 billion

Number of Hedge Fund Holders: 56

Sixth on our list of most profitable growth stocks is Shopify Inc. (NYSE:SHOP), a global commerce company that provides essential tools for businesses to start, scale, and run efficiently. Its platform supports multiple sales channels, including online storefronts, social media, and physical locations, allowing merchants to manage all aspects of their business through a single dashboard.

Its cloud-based infrastructure provides data insights for informed decision-making while ensuring security and privacy. The platform also emphasizes brand ownership, mobile commerce, and global reach, with features like localized storefronts and simplified cross-border sales. its scalable infrastructure supports merchants of all sizes, offering enterprise-level functionality without requiring re-platforming.

One of Shopify’s (NYSE:SHOP) growth prospects is its lending program, Shopify Capital, which has provided $5.1 billion in loans to merchants. This program offers loans based on merchant revenue, challenging traditional banks and venture funds by addressing small and medium-sized businesses often overlooked by conventional lenders.

With APRs ranging from 32% to 45%, the loans generate significant revenue and profit for Shopify (NYSE:SHOP). By selling these loans as securities, it can reinvest in other areas, or it can retain the loans for high returns, both fueling further growth. This profitable lending model enhances the company’s appeal as an investment.