Interesting to look back at those growth stocks that caught everyone's attention back in 2023. The market had been brutal that year - S&P 500 was down 16%, economy cooling with inflation and rate hikes everywhere. It was actually a decent entry point for opportunistic investors hunting for solid businesses at reasonable prices.

Let me break down three that were getting serious attention then. Block was the fintech play everyone was watching. Their Q3 numbers showed $4.5 billion in revenue with earnings per share at $0.42, both beating expectations. Square's point-of-sales business for small merchants was doing solid work with $783 million in gross profit, up 29% year-over-year. Cash App was even more interesting - $774 million in gross profit and 49 million active users by September. The thesis was compelling: Block had only 3% penetration of a $190 billion total addressable market. As commerce shifted from cash to digital, the growth runway looked massive. Even after being down 58% that year, the stock had still multiplied more than five times since its 2015 IPO.

Then there was Crocs. Revenue jumped 57.4% in Q3 that year. The HeyDude acquisition earlier in 2023 was a game-changer - those sales were up 87% year-over-year. Management under CEO Andrew Rees was so confident they raised 2022 guidance to 49-52% revenue growth. That kind of performance in a rough macro environment was genuinely rare. The ambition was bold too - $6 billion in annual revenue by 2026 with Asia expansion as the next frontier. Stock was trading at a P/E of just 10.5, which looked cheap for that growth profile.

Lululemon rounded out the three. Their Q2 fiscal 2022 results absolutely crushed expectations while Nike was struggling. Same-store sales up 23%, e-commerce at 42% of total revenue. Gen-Z consumers ranked it as the second most popular clothing brand according to Piper Sandler's survey. The gross margin at 56.5% showed real pricing power. Management laid out a vision to hit $12.5 billion in fiscal 2026 revenue - doubling 2021 levels. International expansion and strengthening men's and digital segments were the levers. At a P/E of 41, down from a five-year average of 54, the valuation had compressed significantly.

All three of these growth stocks from 2023 had compelling narratives around market expansion, operational leverage, and reasonable valuations after that rough year. Whether they actually delivered on those promises is another story worth examining now that we're in 2026.