Growth stocks are projected to continue their upward price trend in the coming months, backed by strong consumer spending and favorable fiscal policies. Therefore, Wall Street analysts expect quality growth stocks Mercadolibre (MELI) and Stitch Fix (NASDAQ:SFIX) to generate significant returns in the coming months. So, let’s take a close look at these names.Strong consumer spending and favorable government policies have aided a growth stock rally so far this year as the global economy recovers from its pandemic-led slump. Though most European nations have re-imposed lockdowns and restrictions in the wake of a resurgence of COVID-19 cases, the White House has said that it has no intention of shutting down the U.S. economy because 82% of the U.S. population is vaccinated. This should instill confidence in the markets and allow growth stocks to gain momentum in the coming months.
Growth stocks tend to outperform the market in times of economic recovery. This is evident in the SPDR Portfolio S&P 500 Growth ETF’s (SPYG) 29% returns over the past nine months.
Thus, Wall Street analysts expect MercadoLibre Inc. (NASDAQ:MELI) and Stitch Fix Inc. (SFIX), which possess solid growth attributes, to rally by more than 85% in the near term.