3 Growth Stocks That Beat the S&P 500 in 2024 but Are Still Worth Buying in 2025

Archer Aviation - Archer Aviation's stock soared nearly 59% in 2024 due to positive analyst coverage and a new partnership in the Middle East [2] - The company completed its high-volume manufacturing facility in Georgia in 2024, with plans to start aircraft production in early 2025 and scale up to two aircraft per month by year-end [3] - Archer secured new growth opportunities, including a deal with Anduril and expanded operational locations, with potential for further stock gains upon FAA certifications and commercial operations [4] Pentair - Pentair's 38.4% return in 2024 outperformed the S&P 500, driven by its water technology products and systems [5] - New pool construction declined in 2024 due to high interest rates, with 60,000 new pools in the U.S. compared to 72,000 in 2023, but lower interest rates in 2025 could reverse this trend [6] - The installed base of swimming pools continues to grow, with 80% of the pool segment revenue coming from existing pools [7] - Management is implementing transformational initiatives to expand profit margins and drive sales through targeted pricing, improved sourcing, and lean management techniques [8] - Wall Street expects mid-teens earnings growth for Pentair in 2024 and 2025, with the stock trading just over 20 times 2025 earnings [9] Meta Platforms - Meta Platforms surged 386.5% between 2023 and 2024, reaching a market cap of $1.48 trillion [10] - The company spends 27% of its revenue on R&D, the highest among companies with a market cap over $1 trillion, while maintaining 40% operating margins and rapid revenue growth [11][12] - Meta's monetization of AI through Instagram has been a key driver of its success, with potential to overtake Alphabet in market cap by 2026 [13] - Reality Labs, Meta's division focused on virtual and augmented reality, aligns with Nvidia's projected AI growth path, blending the physical and digital worlds [14][15] - Meta's P/E ratio of 29.1 and forward P/E of 24.3 make it a compelling value given its cash cow business model and AI-driven growth potential [16]