Finding the Right Entry Point: Three Growth Stocks Worth Considering in Early 2026

The investment landscape in early 2026 presents an interesting paradox. While broader market indices hover near record territory, distinguishing between stocks worth buying and those better left alone—or potentially sold—requires careful analysis. Rather than chasing any available opportunity, savvy investors should focus on companies demonstrating genuine competitive advantages and attractive valuations relative to their growth prospects.

If you’re evaluating where to deploy capital, consider this framework: avoid stocks lacking clear competitive moats, overpriced relative to fundamentals, or facing structural headwinds. Conversely, seek businesses with durable competitive advantages, reasonable valuations, and favorable market tailwinds. With this criteria in mind, three companies stand out as compelling opportunities: a dominant chip designer powering artificial intelligence infrastructure, a Latin American e-commerce and fintech powerhouse, and a recovering advertising technology platform now trading at attractive levels.

The AI Hardware Champion: Nvidia’s Continued Expansion

Nvidia (NASDAQ: NVDA) remains the world’s leading graphics processing unit manufacturer, a position solidified by its dominance in training and deploying generative AI models. The company has built an nearly impenetrable moat in AI infrastructure—customers choose Nvidia’s GPUs not out of brand loyalty alone, but because of technical superiority and ecosystem lock-in.

The growth trajectory remains formidable. Industry analysts project 50% revenue growth for fiscal 2027, driven by sustained spending from AI hyperscalers and the anticipated launch of its next-generation Rubin architecture. For a company of Nvidia’s scale, maintaining 50% annual growth would be extraordinary. This isn’t a flash-in-the-pan technology trend; AI infrastructure spending continues accelerating across the industry.

What separates Nvidia from most growth stocks to sell now is that its growth is backed by genuine demand, not speculation. Data centers worldwide are racing to upgrade their infrastructure, and Nvidia remains the essential component in that race.

The Latin American Opportunity: MercadoLibre’s Dual Growth Engine

Often dubbed the “Amazon of Latin America,” MercadoLibre (NASDAQ: MELI) deserves recognition as a distinct business model entirely. While its e-commerce platform and logistics network—enabling same-day or next-day delivery in many regions—parallel Amazon’s physical infrastructure, the real differentiation lies elsewhere.

The company’s fintech division represents an often-overlooked growth catalyst. Unlike the mature digital payment infrastructure in the United States, Latin America required building financial technology from the ground floor. MercadoLibre seized that opportunity, positioning itself across two of the region’s highest-growth sectors: digital commerce and financial services.

Recent price action has created a genuinely rare opportunity. Down nearly 20% from all-time highs, MercadoLibre stock has become attractively valued for investors seeking exposure to dual structural trends—e-commerce penetration and fintech adoption—playing out across an emerging market region. This represents exactly the type of discounted price point long-term oriented investors should recognize.

The Comeback Story: The Trade Desk’s Valuation Resets

The Trade Desk (NASDAQ: TTD) presents a different investment narrative. Unlike Nvidia’s relentless growth or MercadoLibre’s consistent outperformance, The Trade Desk stumbled during its rollout of an AI-powered advertising platform and is actively working through operational challenges.

Performance metrics reflect this turbulence. In Q3 2024, the company achieved 18% revenue growth—respectable by most standards, yet its lowest growth rate outside of COVID-impacted quarters. The underlying cause illuminates why this drawdown may represent opportunity rather than deterioration: political advertising spending inflated Q3 2024 results dramatically, creating difficult year-over-year comparisons. Stripping out this anomaly reveals a fundamentally sound business still expanding at above-average rates.

Customer retention metrics underscore business stability. The Trade Desk retained 95% of its customer base in Q3—a consistency maintained for 11 consecutive years. This suggests operational missteps, while painful, haven’t shaken core client confidence.

Current valuation magnifies the opportunity. At 18 times forward earnings, The Trade Desk trades below the S&P 500’s 22.4 multiple while growing faster than the broader market. This combination—faster growth at a lower valuation multiple—historically has preceded strong recoveries. For investors identifying stocks to sell now before missing rebounds, The Trade Desk sits on the opposite side of that equation, poised for recognition.

The Investment Framework Going Forward

The distinction between stocks worth purchasing and those better avoided ultimately hinges on three factors: competitive positioning, valuation relative to growth prospects, and favorable market conditions. Nvidia benefits from all three. MercadoLibre combines discount valuation with powerful structural growth. The Trade Desk offers compelling value after legitimate but temporary headwinds.

These three represent fundamentally different approaches to market participation—from dominant market leader to emerging market play to cyclical recovery opportunity—offering portfolio diversification alongside individual conviction.