3 Growth Stocks to Buy at Dirt Cheap Prices

Core Viewpoint - There are several growth stocks available at attractive valuations, making them potential long-term investment opportunities despite market perceptions of high prices. Group 1: Carnival Corp. - Carnival Corp. is currently trading at a forward price-to-earnings (P/E) multiple of less than 14, despite strong growth expectations of 20% earnings growth for the year [3][5]. - The company has exceeded its initial guidance for 2024 and is expected to continue improving its bottom line into 2025, benefiting from the affordability of cruises during challenging economic times [4]. - The stock has appreciated around 50% in the past year, but there may still be significant upside potential for new investors [5]. Group 2: Baidu - Baidu is trading at a forward P/E of less than 9, making it an attractive option in the artificial intelligence (AI) sector, with a reported 26% revenue growth in its AI cloud business during the last quarter of 2024 [6]. - The company's AI chatbot, Ernie, processed approximately 1.65 billion API calls in December, and a next-generation AI model is expected to be unveiled soon [7]. - Despite recent struggles, Baidu's AI business growth could provide significant future upside, although investors may need to be patient due to geopolitical uncertainties [8]. Group 3: PayPal - PayPal reported $8.4 billion in revenue for the last quarter of 2024, with modest growth attributed to its Venmo peer-to-peer payment app, which saw a 10% increase in payment volume [9][11]. - The Venmo debit card experienced a 30% increase in monthly active accounts last year, indicating potential for continued growth as more merchants accept it [10]. - With a low forward P/E of 14, PayPal remains a strong investment option, especially as the economy improves and its Venmo business expands [12].