If You Own These 3 Growth Stocks, You Might Want to Rethink Your Position
Investors love growth, so they're typically willing to pay a premium for fast-growing companies. The thesis is that they'll eventually grow into their valuations.
However, some growth stocks seem priced to perfection. That means shares of each could underperform if the company doesn't deliver on its lofty expectations. Three absurdly priced growth stocks are Rivian Automotive (NASDAQ: RIVN), Lucid Group (NASDAQ: LCID), and QuantumScape (NYSE: QS). Here's why investors might want to rethink whether these stocks belong in their portfolios.
Electric vehicle (EV) maker Rivian Automotive currently has a $19 billion market cap. There are many ways to put that valuation into context. For example, it's about a third of the size of larger automakers like Ford Motor (NYSE: F) and General Motors (NYSE: GM).
Source Fool.com
