Investing $13,000 in these 3 stocks in 2020 would have made you a millionaire today

There is no single strategy and approach when it comes to investing. While many professionals will say that using index funds is the best way to grow your portfolio, it can take a long time — decades in many cases — to really grow your portfolio to a significant amount of money.

You can also invest in many types of growth stocks, which may carry some risk but can also generate more significant returns in a shorter time frame. Three stocks that have performed exceptionally well since the start of the decade include adze (NASDAQ:TSLA), Nvidia (NASDAQ: NVDA)and Celsius Holdings (NASDAQ: CELH). Investing $13,000 in each of these stocks would put you at over $1 million right now.

Here’s how much they’ve risen since 2020 and how much a $13,000 investment in these stocks would be worth today (at the time of writing).

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Tesla stock is up about 1,500% since the start of the decade and would have turned a $13,000 investment into about $204,000 right now. Back then, Tesla was a much riskier-looking stock than it is today. It ended 2019 with a net loss of $862 million. It was an improvement over the previous year’s loss of $976 million, but it was still a very unprofitable business at the time.

Fast forward to today, and Tesla has proven many of its doubters wrong. In the past four quarters, the company has reported profits of less than $5.1 billion, and it is battling intense competition and margin pressures. In 2023, its profit was an incredible $15 billion.

The main problem with Tesla stock these days is valuation. The stock trades at more than 300 times its trailing earnings, and with a valuation of about $1.5 trillion, it’s one of the most valuable companies in the world. It’s not likely to generate massive returns given the high price today, but if you believe in the company’s vision to develop robots in the future, it may still be a good buy, but it comes with risks.

Chipmaker Nvidia is the most valuable company in the world, with a market capitalization of around $4.5 trillion. The company needs no introduction to anyone who has followed artificial intelligence (AI) stocks over the past few years. Its AI chips are the key ingredients in the development of next-generation models, chatbots and other products and services.

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