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2 Growth Stocks to Invest $1,000 in Right Now

Broadcom and UiPath have big growth potential.

If you’re looking to put money to work in the market — say $1,000 — investing in some up-and-coming growth stocks could be a good route to take. Let’s look at two artificial intelligence (AI) stocks that could still be in the early days of a big ramp-up in growth.

Broadcom

Broadcom (AVGO -1.86%) has become the key architect for helping companies design custom AI chips, making it one of the most important players in the next phase of the AI infrastructure build-out. As companies look to increasingly loosen Nvidia‘s grip on the AI chip market, they are turning to Broadcom for help.

The company has already proved itself in its relationship with Alphabet, helping the cloud computing leader develop its highly successful tensor processing units (TPUs).

Broadcom expects just three of its established customers, which also include Meta Platforms and ByteDance, to represent a $60 billion to $90 billion opportunity by fiscal 2027. The midpoint of that estimate is more than the size of Broadcom’s entire current annual revenue base, which just shows you how big its custom-chip opportunity is.

The company recently announced a formal partnership with OpenAI to help develop and deploy 10 gigawatts of custom AI accelerators using Broadcom’s networking and Ethernet technology. The implications are enormous. A single gigawatt of data center capacity translates into tens of billions of dollars in hardware spending, meaning this partnership alone could represent a $100 billion annual opportunity in the coming years.

Broadcom has yet another new customer for its custom AI chips that ordered $10 billion worth of the semiconductors for next year. 

Now, with several of the world’s largest hyperscalers (companies that own huge data centers) as custom AI chip clients, Broadcom looks poised to see explosive growth in the coming years. This can be a good time to add shares before the company’s results start to really ramp up.

A bull statue trading stocks on a laptop.

Image source: Getty Images

UiPath

Another company that has the potential to accelerate its growth in the coming years is UiPath (PATH -3.77%). The company built its name around robotic process automation (RPA), which uses software bots to handle repetitive business tasks, but it’s now moving into what it calls agentic automation.

The company has been busy forming partnerships that strengthen this strategy. It’s now working with Nvidia to integrate its Nemotron models and NIM microservices, which can accelerate AI deployment in industries where data security is paramount. It has also teamed up with Alphabet to use its Gemini models for voice-activated automation. 

However, its most interesting collaboration is with Snowflake, a data warehousing and analytics company that stores customers’ structured data. There has been a belief that AI would disrupt its business, given how well AI works with unstructured data, but companies like Palantir have actually shown that AI models work best when they have clean, organized data.

By connecting with Snowflake’s Cortex AI system, UiPath AI orchestration tools can give customers insights using their own data in real time. That is a powerful resource that could help make AI more actionable in the real world.

UiPath’s growth temporarily slowed as the AI frenzy took off and customers reevaluated their spending priorities, but the underlying business is improving again. Its annual recurring revenue (ARR) climbed 11% to $1.72 billion last quarter, and cloud-based ARR surged 25%, showing that customers are embracing the company’s newer offerings. Net revenue retention stabilized at 108%, and operating margins have expanded significantly after the company implemented cost cuts.

UiPath’s open approach, acting as the “Switzerland” of AI agents, should appeal to enterprises that don’t want to be tied to one AI ecosystem, and it represents a huge growth opportunity.

More than 450 customers are already building AI agents on its platform, and almost all new customers are adopting both its RPA and AI products together. That’s a strong sign the company’s AI expansion isn’t cannibalizing its core business but enhancing it.

Despite this progress, the market hasn’t caught on yet: The stock trades at a price-to-sales (P/S) multiple of only 5 times 2026 analyst estimates. If growth continues to reaccelerate, the stock’s upside could be substantial.

Geoffrey Seiler has positions in Alphabet and UiPath. The Motley Fool has positions in and recommends Alphabet, Apple, Meta Platforms, Nvidia, Palantir Technologies, Snowflake, and UiPath. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.

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Want to Invest in Quantum Computing? 5 Stocks That Are Great Buys Right Now

Quantum computing is quickly becoming the hottest sector in the market.

Quantum computing investing is not an easy field to pick stocks in. There’s a lot of complex knowledge needed to understand the technology, making it hard for investors to discern which company is currently leading the way. Furthermore, the space is rapidly shifting, with new announcements occurring every week that change the landscape.

This makes it difficult to be a quantum computing investor, but I think there is a way to spread out the risk a bit and still have exposure to this important and emerging space. By taking a basket approach and picking a few stocks, investors can increase their odds of success by sacrificing maximum return for a better chance of success. I think this is the best way to approach quantum computing, and I’ve got five picks that help make up a quantum computing basket.

Image of a quantum computing cell.

Image source: Getty Images.

Quantum computing pure plays

First, let’s look at some pure plays in this space. These companies are the most exciting, as they’re relatively small but have the chance to turn into giant tech companies if their technology is successful.

First is IonQ (IONQ -5.85%). It was the first quantum computing pure play company to go public, and has seen tremendous success over the past year. It’s taking a unique approach to the quantum computing realm, utilizing a trapped-ion technology versus the more popular superconducting option.

A trapped-ion quantum computer is inherently more accurate, but trades off processing speed. Still, with quantum computing accuracy being the biggest problem surrounding widespread commercial adoption, investing in a company whose technology is a leader in solving this problem is a wise idea.

Next is Rigetti Computing (RGTI 0.39%). Rigetti is deploying the superconducting quantum computing approach and has seen some recent successes with it. On Sept. 30, Rigetti announced the sale of two quantum computing systems that totaled $5.7 million.

While that’s not the billion-dollar enterprise many investors picture this technology having, it’s a start. Furthermore, because these customers likely explored other quantum computing options available, it’s a big deal that they decided to pick Rigetti over some others.

Last on the pure play list is D-Wave Quantum (QBTS 4.13%). D-Wave Quantum is taking a completely different approach to quantum computing than IonQ or Rigetti. It’s developing a quantum annealing computer, which can’t be used for general-purpose computing like the other two options. Instead, quantum annealing focuses on solving optimization problems, which is incredibly useful for weather patterns, logistics networks, and artificial intelligence (AI) training.

If D-Wave can develop a winning option with this approach, it could dominate the fields that are recognized as having the most value for quantum computing.

Legacy tech players

Next are some legacy tech players competing in the quantum computing space. While these options don’t have nearly the upside of the pure plays, they’re also less risky. If IonQ, D-Wave, or Rigetti fail to produce a commercially viable product, it’s likely that their stock will go to zero. For Alphabet (GOOG 2.17%) (GOOGL 2.23%) and Nvidia (NVDA -0.17%), they have other primary businesses that will ensure their viability for years to come.

Alphabet is seen as a leader in quantum computing from the big tech standpoint. It’s developing quantum computing for internal use, but also to be rented out via its cloud computing service, Google Cloud. If Alphabet can develop its own quantum computer in-house, it can increase its margins in this area, as it won’t have to pay for other companies’ profits, as it does when it buys Nvidia’s graphics processing units (GPUs) now. Alphabet has resources that the pure play companies can only dream about, and in a trend that needs heavy capital influx to develop the product, Alphabet could be a huge winner.

Last is Nvidia. Nvidia currently produces the most powerful classical computing units available, and has no plans to develop a quantum computing option. However, Nvidia sees that the real value in quantum computing will be a hybrid approach that uses its GPUs alongside a quantum computing unit. To ensure its hardware is used in this hybrid approach, Nvidia is evolving its leading software, CUDA, for quantum computing, renaming it CUDA-Q.

CUDA software is a primary reason why Nvidia has been so successful in the AI arms race so far, and by offering a quantum computing alternative, it will ensure that its computing products will be used for years to come, even if quantum computing takes the world by storm.

Keithen Drury has positions in Alphabet and Nvidia. The Motley Fool has positions in and recommends Alphabet and Nvidia. The Motley Fool has a disclosure policy.

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The Best Dividend ETF to Invest $1,000 in Right Now

This high-quality ETF can be a reliable source of income for investors.

I never shy away from a chance to tell someone how lucrative dividend stocks can be. Reliable distributions may not be as fun to brag about as share price appreciation, but they can quietly help you build wealth, particularly if you reinvest them to benefit from compound growth. And succeeding with an income investment strategy doesn’t require the acumen of a Wall Street veteran, either. It can be as simple as investing in a dividend-focused exchange-traded fund (ETF).

There are numerous worthwhile dividend ETFs on the market, but if you’re looking for one to invest $1,000 in now, I say look no further than the Schwab U.S. Dividend Equity ETF (SCHD -1.67%). It checks off many of the boxes that dividend investors should have on their lists.

Rolled $100 bills planted in soil.

Image source: Getty Images.

A good vetting process

One of the boxes the Schwab U.S. Dividend Equity ETF checks off (and arguably the most important one) is that it contains only high-quality companies. It tracks the Dow Jones U.S. Dividend 100, and entry into that index requires that companies have consistent cash flow, a strong balance sheet, a track record of at least 10 years of dividend payouts, and strong profitability.

These criteria mean that its components aren’t picked solely based on their dividends, and that they’re unlikely to be yield traps — stocks where the yields are high (and thus, attractive on the surface) because their share price has declined meaningfully due to poor business performance.

This doesn’t mean companies in this ETF won’t ever face challenges, but they have businesses built to withstand them. Below are the fund’s top 10 holdings:

Company Weight in the ETF’s Portfolio
AbbVie 4.35%
Lockheed Martin 4.25%
Merck 4.22%
Amgen 4.14%
Cisco Systems 4.07%
ConocoPhillips 4.01%
Altria Group 3.92%
Chevron 3.90%
Coca-Cola 3.83%
Home Depot 3.82%

Source: Charles Schwab. Percentages as of Oct. 7.

These companies aren’t the high-flying tech stocks that get a lot of attention in the media and on Wall Street, but they’re reliable, generate consistent cash flows, and have proven that their businesses can hold up during tough economic times. That’s always important, but it’s especially so with dividend stocks, which provide much of their long-term value to shareholders by steadily distributing profits.

A dividend that will grow over time

Not only do the Schwab U.S. Dividend Equity ETF’s criteria rule out companies with shaky or unstable dividends, they also favor companies that prioritize regularly increasing their payouts. Over the past decade, the ETF’s dividend per share has increased by 187% to $0.26 per quarter.

At the ETF’s price at the time of this writing, that works out to around a 3.8% yield, meaningfully above its average over the past decade.

SCHD Dividend Yield Chart

SCHD Dividend Yield data by YCharts.

Although the Schwab U.S. Dividend Equity ETF’s dividend yield will inevitably fluctuate as the prices of the stocks in its portfolio do, if we assume it remains around 3.8%, that would pay out around $38 annually per $1,000 invested. That’s not life-changing money. However, it can add up over time, especially if you reinvest your dividends and focus on acquiring more shares.

How much could a $1,000 become worth?

There’s no way to predict how a stock or ETF will perform, but for the sake of illustration, let’s assume the Schwab U.S. Dividend Equity ETF continues to deliver at the same pace it has averaged over the past decade: an average annualized total return of 11.7%. At that rate, here is roughly how much a $1,000 investment would be worth after various periods (accounting for SCHD’s 0.06% expense ratio):

  • 10 years: $3,007.
  • 15 years: $5,215.
  • 20 years: $9,044.
  • 25 years: $15,685.

Those are impressive gains, but your results would be even better if you steadily invested more money in it over time. Adding $100 a month would give you a holding worth around $23,700 in 10 years, $48,670 in 15 years, $91,980 in 20 years, and $167,080 in 25 years. Those are huge differences from just the one-time $1,000 investment.

Nothing is guaranteed in the stock market, but the Schwab U.S. Dividend Equity ETF has a track record of being a great choice for investors seeking reliable and consistent income.

Stefon Walters has positions in Coca-Cola. The Motley Fool has positions in and recommends AbbVie, Amgen, Chevron, Cisco Systems, Home Depot, and Merck. The Motley Fool recommends Lockheed Martin. The Motley Fool has a disclosure policy.

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3 Growth Stocks to Invest $1,000 In Right Now

When it comes to growth, it pays to pay up for quality.

You can make a little money go a long way, as long as you invest in the right growth stocks. The risks are understandably high. The valuations may seem outlandish today, but interesting things happen to stocks that are price for perfection when reality exceeds perfection.

I believe that Figma (FIG 7.74%), Axon Enterprise (AXON 0.90%), and Toast (TOST 0.85%) are three growth stocks to invest $1,000 right now. Let’s take a closer look.

1. Figma

Thrill seekers ride roller coasters over the summer. Investors looking for white-knuckled ups and downs found that in Figma. The developer of design tools for websites and mobile apps went public less than three months ago at $33. The IPO has not stood still. Figma traded as high as $143 out of the gate. It is trading 60% below that early August peak as of Monday’s close.

Figma hit the market checking all of the boxes and buzzwords that rightfully make growth investors tingly with wealth-altering potential. There are other cloud-based platforms that help spruce up and simplify digital offerings, and Figma isn’t the only one putting artificial intelligence (AI) front and center. It’s competitively priced, as low as $3 to as high as $90 a month for its premium subscriptions. Free starter accounts woo potential payers.

Someone delighted by the app or website she's exploring on her phone.

Image source: Getty Images.

You can’t be a growth stock without growth, and Figma delivers on that front. Revenue rose 48% last year. Canva — who could go public later this year — grew its top line at half of Figma’s clip in 2024. Canva is admittedly three times as a large as Figma in terms of revenue. Desktop publishing pioneer Adobe (ADBE 0.98%) competes with Figma and Canva with its Adobe XD vector design tool. It’s growing its overall business at a 10% to 11% pace for the fourth consecutive year.

Growth is slowing for Figma. Revenue rose 46% through the first three months of this year. Last month it announced 41% year-over-year growth for the second quarter, its first report as a public company. Don’t let that deter you from this opportunity to pick up Figma at a deep discount to its summertime high. Figma is now profitable. It’s also growing in popularity. Its customers are digging in with Figma. Its net dollar retention rate for customers with annual recurring revenue north of $10,000 is currently 129%. Put another way, major returning accounts are spending 29% more over the past year through Figma than the prior 12 months.

The stock isn’t cheap at 28 times trailing revenue and a forward earnings multiple approaching 200. This will scare many investors away and attract short sellers. Let it happen, Figma investors. When Canva surges on its IPO it will only draw more attention to the smaller player growing a lot faster.

2. Axon

If you’re comfortable with Figma-esque multiples, but want a more seasoned public company, Axon fits the bill. There’s a good chance that it has video evidence of its success. Axon is the leading provider of wearable body cameras used by law enforcement and other groups to record confrontations and events. It also runs Evidence.com, the cloud-based platform that stores its growing video files. Oh, it’s also still making its iconic TASER stun guns.

Axon is trading for 24 times revenue and 180 times earnings. It’s not for the squeamish, but it has always climbed the valuation wall of worry. It’s a 30-bagger over the past decade, and a still market-thumping 7-bagger over the last five years. It has earned the upticks. Annual revenue growth has topped 20% in each of the past 10 years, and business is actually picking up lately. This will be the third consecutive year of better-than-30% top-line growth. Customers pay Axon a premium for the security it provides. Investors pay a premium on Axon for the growth it provides.

3. Toast

Toast rounds out this list of companies providing tech tools to enhance the unlikely markets of site design, enforcement, and in this case restaurant stocks. Toast provides a cloud-based solution for eateries that is more than just the point-of-sale transaction settler that diners see. It helps operators manage everything including inventory, loyalty programs, table turns, and third-party delivery orders.

Success breeds success. Toast is becoming an essential investment in the cutthroat restaurant industry. The 148,000 different locations it’s currently serving is a 24% jump over the past year. There are currently challenges for the industry, but wait until Toast’s growth is more than just its expansion rate. The secret sauce to Toast is when operators dig deeper into its growing ecosystem. When the eatery space bounces back, Toast will spring even higher. The valuation multiples are lower than Figma and Axon, but is has the same scalability and dynamic runway for growth. Order up.

Rick Munarriz has positions in Axon Enterprise and Toast. The Motley Fool has positions in and recommends Adobe, Axon Enterprise, and Toast. The Motley Fool has a disclosure policy.

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Should You Invest $1,000 in Dogecoin Right Now?

Dogecoin has soared in the past year, but it’s still well off its peak price.

It’s hard to argue with Dogecoin‘s (DOGE 0.68%) performance. In the past five years, this cryptocurrency has skyrocketed 8,740% (as of Sept. 30). It has taken its owners on a roller coaster ride, but the returns have been truly magnificent.

Right now, Dogecoin trades 66% below its record, established in May 2021. Should investors take advantage of the dip and spend $1,000 to buy this dog-inspired meme token right now?

face of Shiba Inu dog.

Image source: Getty Images.

Betting on community support

Dogecoin was created in 2013 as a joke to rival Bitcoin. It deserves credit for building a strong community of supporters that has driven its market cap to $35 billion. However, when it comes to legitimate use cases, Dogecoin is lacking.

One key data point to keep in mind is developer activity. A report by Electric Capital reveals that Dogecoin is 97th on the top-100 list of blockchain networks when it comes to the total number of developers working on it. This is a bearish indicator, as it points to a low probability of critical innovation and advancements.

Buy the proven winner

The only market participants that should bet on Dogecoin are speculators looking to make a quick profit. The true long-term investors out there will have no problem avoiding this token. Compared to today, there’s a very real chance that Dogecoin will be worth less five or 10 years down the road.

When allocating $1,000 in capital to cryptocurrencies, it’s a smart idea to focus on a proven winner like Bitcoin.

Neil Patel has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin. The Motley Fool has a disclosure policy.

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Trump U.K. state visit: U.S. firms to invest at least $205B in Britain

1 of 4 | U.S. President Donald Trump (C-L) and King Charles (C-R), flanked by First Lady Melania Trump (L) and Queen Camilla (R), share a joke as they review a Guard of Honour at Windsor Castle on Wednesday. Photo by RAF Sgt. Rob Kane/Defense Ministry/EPA

Sept. 18 (UPI) — Major U.S. companies are set to invest a record $205 billion in Britain over the next decade, creating thousands of jobs across the four countries of the United Kingdom, the government said in an announcement timed to coincide with U.S. President Donald Trump‘s state visit.

Investment giant Blackstone will put in the bulk of the money, about $123 billion, along with $46 billion from Microsoft, NVIDIA and Google into AI projects and data centers, according to a Business Department news release.

Prologis will pump another $5.3 billion into the Cambridge Biomedical Campus, as well as investments to support life sciences, advanced manufacturing and rail infrastructure, while tech company Palantir is set to invest $2 billion.

Hailing what he said was the largest commercial package ever secured during a State Visit, Prime Minister Keir Starmer said the deals were a “testament to Britain’s economic strength and a bold signal that our country is open, ambitious, and ready to lead.”

“When we back British brilliance, champion our world-class industries, and forge deeper global alliances — especially with friends like the United States — we help shape the future for generations to come and make people across the country better off,” Starmer said. “Jobs, growth and opportunity is what I promised for working people, and it’s exactly what this State Visit is delivering.”

Prologis U.K. regional head Paul Weston said the move demonstrated the firm’s determination to support innovation and deliver the sustainable infrastructure base critical to the U.K.’s long-term economic growth. 

“Our investment ambitions for the expansion of Cambridge Biomedical Campus and Daventry International Rail Freight Terminal are backing two of the U.K.’s most critical sectors: life sciences and logistics,” said Weston.

However, the money will not all be flowing in one direction.

British firms are set to invest upwards of $73 billion in the United States over the next five years, led by pharma-giant GSK and BP, plus tech, banks and insurers.

U.K. public sector contracts with U.S. companies, mostly in the spheres of tech and defense, helping run critical services such as the National Health Service and weather forecasting, will add another $60 billion to that figure.

Meanwhile, the state visit by Trump, credited with oiling all the deals, culminated Wednesday night with a grand state banquet in his honor in Windsor Castle’s St. George’s Hall attended by 160 guests at which he was seated with King Charles on one side and Catherine, Princess of Wales, on the other.

In speeches, the king and Trump spoke at length about the special U.K.-U.S. relationship with Charles highlighting the shared history of the two nations fighting alongside each other in two world wars and praising Trump’s dedication to “finding solutions to some of the world’s most intractable conflicts.”

“Our people have fought and died together for the values we hold dear,” said the King.

Trump said “special” didn’t even come close.

“I have such respect for you and such respect for your country for many decades. The word special does not begin to do it justice,” he said, addressing the king.

The visit was set to continue Thursday with Trump traveling to Prime Minister Keir Starmer’s country residence in Buckinghamshire for bilateral talks and a summit with business leaders, while First Lady Melania Trump will remain at Windsor Castle to attend events with Queen Camilla and Princess Kate.

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Firms will hesitate to invest in US after raid – South Korea president

South Korean companies will be “very hesitant” about investing in the US following a massive immigration raid at a Hyundai plant in the state of Georgia last week, President Lee Jae-myung said.

More than 300 South Koreans who were arrested in the raid are due to return home on Friday, after their departure was delayed “due to circumstances on the US side”, officials said.

“The situation is extremely bewildering,” said Lee, noting that it is common practice for Korean firms to send workers to help set up overseas factories.

“If that’s no longer allowed, establishing manufacturing facilities in the US will only become more difficult… making companies question whether it’s worth doing at all.”

Last week, US officials detained 475 people – more than 300 of them South Korean nationals – who they said were working illegally at the battery facility, one of the largest foreign investment projects in the state.

A worker at the plant spoke to the BBC about the panic and confusion during the raid. The employee said the vast majority of the workers detained were mechanics installing production lines at the site, and were employed by a contractor.

South Korea, a close US ally in Asia, has pledged to invest tens of billions of dollars in America, partly to offset tariffs.

The timing of the raid, as the two governments engage in sensitive trade talks, has raised concern in Seoul.

The White House has defended the operation at the Hyundai plant, dismissing concerns that the raid could deter foreign investment.

On Sunday, US President Donald Trump referenced the raid in a social media post and called for foreign companies to hire Americans.

The US government would make it “quickly and legally possible” for foreign firms to bring workers into the country if they respected its immigration laws, Trump said.

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The Best Growth ETF to Invest $1,000 in Right Now

If you have some appetite for risk, this exchange-traded fund could be a great choice.

It’s a great time to be in the market. After some downward pressure earlier in the year, the S&P 500 is back in growth mode, and it’s up nearly 11% year to date.

Concerns still abound. Is the market overvalued? Is inflation really moderating? Will tariffs cause more problems for manufacturers and retailers? Is the market due for a correction, or worse, a crash?

You can’t reliably time the market, and there’s no way to know what will happen next, or if a black swan event will arise and change things up unexpectedly. What you can do as a retail investor, if you want to give yourself the best shot at growing your wealth in a meaningful way, is stay in the market for the long term and add to your investments consistently.

If you have $1,000 that you’re ready to invest now and you’re looking for a way to profit from the market’s growth, consider the Vanguard Information Technology exchange-traded fund (ETF) (VGT 0.67%). It provides robust growth opportunities while offering diversification, which minimizes your risk.

A leading technology ETF

The Vanguard Information Technology ETF is a growth fund focused on the technology sector. It has 317 stocks in its portfolio, which isn’t super-large as far as ETFs go, but it still provides exposure to a lot of companies in the sector under the umbrella of a single investment. That minimizes some of the risk that you’ll face that any particular company will perform poorly while giving you access to some of the stocks with the highest potential, including some you might find too risky to invest in individually.

Since it’s a weighted index, the largest companies make up the biggest fractions of the portfolio. As you might have already guessed, the largest component is the world’s largest company, Nvidia — it accounts for 18% of the total portfolio. If you’ve been hesitant about investing in the chipmaker today, this is a great way to add it to your portfolio. Apple and Microsoft combine to make up another 28%.

A person putting money in a piggy bank.

Image source: Getty Images.

Most of the remaining stocks account for relatively minuscule fractions of the total, but you still get access to hot stocks like Palantir Technologies and the recently IPO’d Figma. These are stocks trading at astronomical valuations — artificial intelligence specialist Palantir trades at 185 times forward, 1-year earnings, while digital design tech company Figma trades at a ratio of 339.

Premiums that high might deter many investors. Here, you can get a small piece of such businesses wrapped up in a bigger and more secure investment. However, this ETF gets Vanguard’s highest risk rating. It has an average P/E ratio of 40, well over the S&P 500 average of 26, which is already expensive relative to its historic levels. This ETF is suitable only for the risk-tolerant investor.

However, some of the risk is mitigated in an ETF like this because many of its components are well-established industry leaders. Companies like HP and Adobe are more mature, and they both trade at a P/E ratio of 22.8.

Also, because it’s an index fund, stocks that aren’t performing well enough will be automatically traded out as soon as they don’t meet the index’s criteria. Another benefit of index funds is that they are passively managed and don’t come with high management fees. The Vanguard Information Technology ETF’s expense ratio is just 0.09%, in contrast with what Vanguard says is an average of 0.93% for similar ETFs.

One way to beat the market

Growth investors aim to beat the market. The risks they take in pursuit of that goal are usually in line with their potential for reward, and it works both ways. When the market is thriving, growth stocks are usually leading the way. When the market is sinking, growth stocks are typically tumbling the hardest.

Over time, though, that dynamic often ends up working in the growth investor’s favor, because historically, the market has spent more time in growth mode than not. Over the past 10 years, for example, the ETF’s annualized gains have more than doubled the S&P 500’s.

VGT Annualized 10 Year Total Returns (Monthly) Chart

VGT Annualized 10 Year Total Returns (Monthly) data by YCharts

In fact, the Vanguard Information Technology ETF’s average annualized 10-year gain of 22.4% is the highest of any Vanguard ETF. It’s also outperforming the market this year — unsurprisingly, since the market is up.

If you have some appetite for risk and a long time horizon for your investments, the Vanguard Information Technology ETF could be a great addition to your portfolio.

Jennifer Saibil has positions in Apple. The Motley Fool has positions in and recommends Adobe, Apple, HP, Microsoft, Nvidia, and Palantir Technologies. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.

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The Best ETFs to Invest In Right Now

These top funds can help you protect and grow your wealth.

Exchange-traded funds (ETFs) make investing simple. With a few clicks of a button, you could quickly gain the opportunity to profit alongside a diversified collection of high-quality businesses.

In addition, select ETFs offer relatively easy ways to cash in on powerful economic trends, such as the artificial intelligence (AI) boom. Well-chosen funds could also provide you with bountiful and reliable passive income.

Read on to see why AI chip suppliers and high-yield dividend payers are particularly attractive stocks to buy today.

A person is standing between two digital displays.

Image source: Getty Images.

This ETF could help you profit from the AI revolution

The world runs on semiconductors. Laptops, smartphones, medical devices, modern cars and trucks, airplanes, satellites, and solar panels are just some of the products that require these essential components to function properly.

The microchips that underpin computer technology of all sorts are becoming even more valuable in the age of AI. The global semiconductor industry is poised to grow from $697 billion in 2025 to $1 trillion by 2030 and $2 trillion by 2040, according to Deloitte. Chip suppliers are set to see their sales and profits soar in the coming years.

The iShares Semiconductor ETF (SOXX -2.86%) offers you a convenient way to claim your share of this enormous and rapidly expanding market.

The fund is managed by BlackRock, one of the world’s largest investment companies, with assets under management of $12.5 trillion as of the end of the second quarter.

The ETF holds stakes in 30 stocks, all of which are key cogs in the global semiconductor supply chain. Leading chipmakers Nvidia, Advanced Micro Devices, Intel, Broadcom, and Taiwan Semiconductor Manufacturing stand among the fund’s largest holdings.

The ETF’s annual expense ratio is reasonable at 0.34%. That amounts to $3.40 for every $1,000 invested.

All told, the iShares Semiconductor ETF is a relatively effortless and low-cost way to position yourself to benefit from the AI-fueled chip boom.

This dividend ETF can help you build a lucrative passive income stream

Dividends are the sweet rewards of investing. A swell of cash payments pouring into your account year after year can drastically reduce your financial worries. Dividends can also help you pay for the things you enjoy.

Moreover, dividend stocks can add ballast to your diversified investment portfolio. Stocks that regularly pay out cash to their investors are generally less volatile than those that don’t. Dividend-payers also tend to outperform non-dividend-payers during bear markets. Better still, companies that can consistently grow their cash distributions often see their share prices rise in kind.

As its name suggests, the Vanguard High Dividend Yield ETF (VYM -0.09%) offers convenient access to a broad collection of income-generating stocks with above-average payouts. The fund’s annualized dividend yield of roughly 2.6% is more than twice that of the S&P 500 Index, making it an excellent source of passive income.

With positions in roughly 580 stocks across a range of sectors, the ETF also provides investors with the wealth-protecting benefits of diversification. Top holdings, which include dividend stalwarts such as JPMorgan Chase, ExxonMobil, and Walmart, further help to mitigate the risks for shareholders.

Best of all, Vanguard charges ultralow fees, so nearly all the ETF’s gains will be passed on to investors. The Vanguard High Dividend Yield ETF has an expense ratio of 0.06%, which amounts to just $0.60 per $1,000 invested annually.

JPMorgan Chase is an advertising partner of Motley Fool Money. Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices, Intel, JPMorgan Chase, Nvidia, Taiwan Semiconductor Manufacturing, Vanguard Whitehall Funds-Vanguard High Dividend Yield ETF, Walmart, and iShares Trust-iShares Semiconductor ETF. The Motley Fool recommends Broadcom and recommends the following options: short August 2025 $24 calls on Intel and short November 2025 $21 puts on Intel. The Motley Fool has a disclosure policy.

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3 Dividend Stocks I Plan to Invest $250 Into This Week for Passive Income

These dividend stocks should supply me with steadily rising payments.

I’m on a mission to reach financial freedom through passive income. My goal is to build multiple income streams that combine to eventually cover my basic living expenses, thereby eliminating the stress of having to earn money to meet my financial needs.

Every week, I aim to make progress toward this financial goal. This time, I plan to invest $250 into three leading dividend stocks: Coca-Cola (KO 0.94%), Camden Property Trust (CPT 1.12%), and W.P. Carey (WPC 0.90%). I believe these companies offer great potential to help me achieve my passive income ambitions.

The word dividends next to money.

Image source: Getty Images.

Satisfying income-seeking investors for decades

Coca-Cola has a terrific record of paying dividends. The global beverage giant has paid dividends for over a century, while increasing its payout for 63 consecutive years. That qualifies it for the elite group of Dividend Kings, companies that have had 50 or more consecutive years of annual dividend increases. Coca-Cola has been growing its payout at a low- to mid-single-digit rate in recent years.

The iconic beverage company’s dividend currently yields about 3%. That’s more than double the S&P 500‘s dividend yield, which is around 1.2%.

Coca-Cola generates significant cash flow, enabling it to reinvest in growing its business while paying its lucrative dividend. The company expects its capital investments to drive 4%-6% annual organic revenue growth over the long term, which should support mid- to high-single-digit annual earnings-per-share growth. Coca-Cola also has an A-rated balance sheet, giving it the financial flexibility to make acquisitions as attractive growth opportunities arise. Since 2016, a quarter of the company’s earnings growth has come from acquisitions. Those drivers should enable Coca-Cola to continue growing its cash flows and dividends.

Cashing in on demand for rental housing

Camden Property Trust is a real estate investment trust (REIT) focused on owning multifamily properties. The landlord owns nearly 60,000 apartment units across 15 major markets in the southern half of the country. It invests in metro areas benefiting from strong employment and population growth trends. That drives demand for rental housing.

The REIT has paid a stable and steadily rising dividend over the past decade and a half. While Camden hasn’t increased its dividend every single year, it has been on a steady upward trajectory since the REIT reset its dividend during the financial crisis. The company’s payout currently yields around 3.8%.

Camden expects to deliver consistent earnings and dividend growth in the future. Its apartment portfolio should benefit from strong demand for rental housing, which should keep occupancy levels high while driving steady rent growth. Camden also has a strong financial profile, enabling it to invest in expanding its portfolio by acquiring stabilized apartment communities and starting new development projects. These growth drivers should enable Camden to continue increasing its dividend.

Building back better

W.P. Carey is a diversified REIT. It owns operationally critical commercial real estate (retail, industrial, warehouse, and other properties) across North America and Europe, secured by long-term net leases with built-in rental escalation clauses. These properties produce very stable rental income that rises each year.

The REIT has increased its dividend every single quarter since resetting the payment at the end of 2023. W.P. Carey realigned its dividend with its expected cash flows after exiting the office sector by selling and spinning off those properties. That strategy shift enabled the company to focus on properties with better long-term growth potential.

W.P. Carey has been steadily rebuilding its dividend (which currently yields 5.4%) and its portfolio. It spent $1.6 billion on new property investments last year and is on track to invest at a similar rate this year. That should enable it to grow its cash flow per share at a mid-single-digit annual rate, supporting a similar dividend growth rate.

Ideal passive income stocks

Coca-Cola, Camden Property Trust, and W.P. Carey are excellent fits for my passive income investment strategy. They pay dividends with above-average yields that steadily grow. As a result, they enable me to generate an attractive and growing stream of dividend income. Investing an additional $250 in these stocks this week will add nearly $10 to my annual passive income total, bringing me a little closer to achieving financial independence.

Matt DiLallo has positions in Camden Property Trust, Coca-Cola, and W.P. Carey. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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Saudi Arabia, Qatar to invest in Lebanon economic zone for disarmed Hezbollah, U.S. envoy says

Saudi Arabia and Qatar are ready to invest in an economic zone in south Lebanon near the border with Israel that would create jobs for members of the militant Hezbollah group and its supporters once they lay down their weapons, President Trump’s envoy to the Middle East said Tuesday.

Tom Barrack made his comments in Beirut after trips to Israel and Syria where he discussed with officials there the ongoing situation in Lebanon following this month’s decision by the Lebanese government to disarm Hezbollah by the end of the year. Hezbollah’s leader rejected the government’s plan, vowing to keep the weapons.

On Monday, Israeli Prime Minister Benjamin Netanyahu said Israeli forces could begin withdrawing from territory they hold in southern Lebanon after the Lebanese government’s “momentous decision” to disarm Hezbollah.

The U.S.-backed Lebanese army is preparing a plan for Hezbollah’s disarmament that should be ready by the end of August. The government is expected to discuss the army’s plan and approve it during a meeting scheduled for Sept. 2.

“We have to have money coming into the system. The money will come from the Gulf,” Barrack told reporters after meeting President Joseph Aoun. “Qatar and Saudi Arabia are partners and are willing to do that for the south (of Lebanon) if we’re asking a portion of the Lebanese community to give up their livelihood.”

“We have 40,000 people that are being paid by Iran to fight. What are you gonna do with them? Take their weapon and say ‘by the way, good luck planting olive trees’? It can’t happen. We have to help them,” Barrack said. He was referring to tens of thousands of Hezbollah members who have been funded since the early 1980s by Tehran.

“We, all of us, the Gulf, the U.S., the Lebanese are all gonna act together to create an economic forum that is gonna produce a livelihood,” Barrack said.

When asked why the U.S. doesn’t go to discuss the Hezbollah issue directly with Iran rather than traveling to Israel and Syria, Barrack said: “You think that’s not happening? Goodbye.” Barrack then ended his news conference and walked out of the room.

Speaking on the U.N. peacekeeping force that has been deployed in south Lebanon since Israel first invaded the country in 1978, Barrack said the U.S. would rather fund the Lebanese army than the force that is known as UNIFIL. Speaking about this week’s vote at the United Nations in New York, Barrack said the U.S. backs extending UNIFIL’s term for one year only.

Conflict escalated to war in September 2024, before November ceasefire

A low-level conflict between Israel and Hezbollah started a day after the Oct. 7, 2023, Hamas-led attack against Israel from Gaza, when Hezbollah began launching rockets across the border in support of its Palestinian ally. The conflict escalated into war in September 2024 and left more than 4,000 people dead, and caused destruction worth $11 billion in Lebanon, according to the World Bank.

The war ended in November with a U.S.-brokered ceasefire and since then Hezbollah says it has ended its presence along the border area. Israel has continued almost daily airstrikes that have killed dozens of Hezbollah members.

Amnesty International in a report released Tuesday said it had identified more than 10,000 buildings that were “heavily damaged or destroyed” in southern Lebanon between October 2024 and January this year.

Israeli forces remained in much of the border area for weeks after the ceasefire agreement went into effect and are still holding five strategic points.

Amnesty’s report alleged that Israeli forces may have violated international law by destroying civilian property in areas they were controlling with “manually laid explosives and bulldozers” after the active fighting had ended and there was no longer an “imperative military necessity.”

Barrack chides journalists before news conference, provoking ire

At the start of the joint news conference with U.S. envoy Morgan Ortagus, Barrack warned journalists at the presidential palace to be quiet, telling them to “act civilized, act kind, act tolerant.” He threatened to end the conference early otherwise.

“The moment that this starts becoming chaotic, like animalistic, we’re gone,” said Barrack. He then asked: “Do you think this is economically beneficial for Morgan and I to be here putting up with this insanity?”

None of the journalists present responded to his comments but the Lebanese press syndicate issued a statement about the “inappropriate treatment” that the Lebanese journalists were subjected to and called on Barrack and the State Department to apologize. It added that if no apology were made, it could escalate by calling for boycotting Barrack’s visits and meeting.

The Presidential Palace also issued a statement regretting the comments made by “one of our guests” and greeted journalists who cover news at the palace, thanking them for their “hard work.”

Mroue and Chehayeb write for the Associated Press. AP writer Abby Sewell contributed to this report.

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Is August the worst month to invest in European stocks?


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European equities have entered what is historically the most challenging stretch of the calendar year, as August and September consistently deliver the weakest returns for the region’s stock markets.

Following a strong first half in 2025 and a slightly positive July, history suggests that the summer momentum in European equities often loses steam as August arrives.

The month is typically defined by thinner trading volumes, greater market sensitivity to economic and geopolitical headlines, and a consistent pattern of higher volatility.

August: The weakest month for European indices

Analysis of the past three decades reveals a clear seasonal downturn in August.

The EURO STOXX 50, Europe’s blue-chip benchmark, has averaged a 1.66% decline during the month over the past 30 years, making it the worst-performing month of the year.

It has ended August in positive territory only 43% of the time, and the broader STOXX Europe 600 tells a similar story.

Over the past 24 years, this index has fallen by an average 0.7% in August, also with a 43% winning ratio. The most brutal August came in 1998, when the EURO STOXX 50 plunged 14.4%, followed closely by 2001’s 13.79% loss.

Country indices echo August’s negative trend

Zooming in on national markets, the pattern of August weakness is equally pronounced.

This period is the weakest month for Germany’s DAX, which posts an average decline of 2.2% and finishes in positive territory just 47% of the time.

In France, the CAC 40 drops by 1.47% on average in August, narrowly ahead of September’s 1.49% average fall, and sees only a 37% winning rate.

Italy’s FTSE MIB and Spain’s IBEX 35 also see the negative sign, logging average August losses of 0.7% and 0.9%, respectively.

German stocks: Some of the weakest August seasonality

A group of Germany’s blue chips consistently show downward August bias, with some of them marking it as their worst month of the year, both in terms of returns and win probability.

According to TradingView data, some of the hardest-hit stocks include:

Thyssenkrupp AG leads the decline, tumbling an average 4.6% in August with a win rate of just 30%, meaning it has posted gains in only 9 of the past 30 years.

BMW AG averages a 4.1% loss in August with just a 37% win rate. Volkswagen AG, meanwhile, falls 3.3% and ends the month higher only 27% of the time — proof that even automakers aren’t spared from late-summer volatility.

Deutsche Bank AG, Germany’s largest lender, averages a 3.47% drop in August and matches Thyssenkrupp’s 30% win ratio.

• Utility giant E.ON SE and industrial titan Siemens AG also feel the seasonal drag, both slipping by nearly 2%, with win rates of 37% and 40%, respectively.

Deutsche Börse AG, operator of Germany’s stock exchange, and consumer goods firm Beiersdorf AG both see their weakest performance in August, falling 1.72% and 1.66% on average, with win rates of 48% and 39%, respectively.

Bottom line: August’s seasonal slump hard to ignore

With the EURO STOXX 50 and STOXX 600 up 8% and 7%, respectively, European equities have delivered a solid year-to-date performance.

Much of this rebound has come on the back of a strong recovery from April’s tariff-induced downturn, mirroring a broader global equity upswing.

But history warns that August marks a persistent seasonal soft spot — particularly for Germany’s corporate heavyweights, which tend to underperform more than their European peers.

From broad indices to blue-chip stocks, the month shows a consistent pattern of lower returns, thinner liquidity, and heightened vulnerability to negative news flow.

While no seasonal trend guarantees future performance, August remains, by many measures, the most challenging month for European investors.

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White House says Apple to invest billions in US manufacturing | Business and Economy News

The White House is expected to announce the new deal as early as Wednesday.

Apple will pledge $100bn for manufacturing in the United States that will focus on building more jobs across the country, the White House has said.

The investment is expected to be announced on Wednesday.

White House economic adviser Kevin Hassett said Apple was likely to make an investment announcement on Wednesday, as he discussed the financial pledges made by companies and countries under US President Donald Trump.

“They’re moving here in droves. This is trillions and trillions of dollars of commitments for people to build new factories here. In fact, you’re likely to see one today from Apple,” Hassett said in an interview with Fox Business Network.

Hassett did not elaborate further.

The investment will help move key parts of the Cupertino, California-based tech giant’s supply chain to the US, Bloomberg News reported, but details on the specifics were sparse.

“Today’s announcement with Apple is another win for our manufacturing industry that will simultaneously help reshore the production of critical components to protect America’s economic and national security,” Assistant White House Press Secretary Taylor Rogers said in a statement.

The president is slated to make an announcement at 4:30pm in Washington (20:30 GMT), according to the White House, which gave no specifics about the deal with the tech giant.

The latest investment

Apple said in February that it would spend $500bn in US investments in the next four years, which would include a giant factory in Texas for artificial intelligence servers and the addition of about 20,000 research and development jobs across the country.

Apple has many times pledged investments in the US in the last decade. In 2018, during Trump’s first term, the company pledged $350bn. In 2021, under former President Joe Biden, Apple announced a $430bn investment.

The investment comes after Trump warned that he would hit Apple with a 25 percent tariff if it did not move its manufacturing efforts to the US. Analysts have said such a shift is not realistic.

Dan Ives at Wedbush Securities said in a note that it would take at least five to 10 years to shift production to the US, meaning consumers would pay as much as $3,500 for an iPhone.

“We believe the concept of Apple producing iPhones in the US is a fairy tale that is not feasible,” Ives had previously said.

Apple did not immediately respond to requests for comment.

In April, Apple had announced plans to move to India the assembly of the majority of the phones it sells to the US by the end of next year in an effort to reduce its reliance on China as the trade war between the US and China heats up. But Trump’s ire has now shifted to India and he has slapped the country with a 50 percent tariff over imports of Russian oil. It’s not clear if the latest developments will impact Apple’s India plans.

Apple’s stock surged on the looming US investment announcement. The company, which is traded under the ticker symbol APPL, is up more than 3.8 percent since the market opened as of 10:15am in New York (14:15 GMT) on Wednesday.

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AstraZeneca to invest $50 billion in United States facilities

The AstraZeneca headquarters in Sydney, Australia, in August of 2020. File Photo by Dan Himbrechts/EPA-EFE

July 22 (UPI) — The biopharmaceutical company AstraZeneca announced it will $50 billion into the United States, with plans to open several manufacturing facilities in several states.

AstraZeneca said in a press release Monday that it will invest by both manufacturing some of its medicines and conducting research and development stateside, and will reach that $50 billion mark by 2030.

This move is intended to create thousands of new American jobs, with the main effort to expand being a multi-billion-dollar manufacturing facility to be built in Virginia. A number of its weight management drugs are to be produced there, and it will create its products via a combination of data analysis, AI and automation.

Virginia Gov. Glenn Youngkin thanked AstraZeneca in the release, “for choosing Virginia as the cornerstone for this transformational investment in the United States.”

“This project will set the standard for the latest technological advancements in pharmaceutical manufacturing, creating hundreds of highly skilled jobs and helping further strengthen the nation’s domestic supply chain,” said Youngkin. “Advanced manufacturing is at the heart of Virginia’s dynamic economy, so I am thrilled that AstraZeneca, one of the world’s leading pharmaceutical companies, plans to make their largest global manufacturing investment here in the Commonwealth.”

Other highlights of the $50 billion investment include research and development facilities constructed in Maryland, Massachusetts, Texas, Indiana and California.

According to the release, the financial goal of AstraZeneca is to reach a total revenue of $80 billion by 2030, half of which is expected to be generated in the United States.

U.S. Secretary of Commerce said in the release that the Trump administration is “proud that AstraZeneca has made the decision to bring substantial pharmaceutical production to our shores.”

“This historic investment is bringing tens of thousands of jobs to the [United States] and will ensure medicine sold in our country is produced right here,” he added.

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Trump Media to raise $2.5bn to invest in Bitcoin | Crypto News

Trump Media says the money will be used to create a ‘Bitcoin treasury’.

The Trump Media and Technology Group will raise about $2.5bn to invest in Bitcoin, United States President Donald Trump’s social media firm says, as it looks to diversify its revenue streams with a push into the financial sector.

The company is raising the funds by selling $1.5bn in stock at its last closing price and $1bn in convertible notes priced at a 35 percent premium, it said in a statement on Tuesday. The money will be used to build a “Bitcoin treasury”, the company said.

The Bitcoin will be held on Trump Media’s balance sheet alongside existing cash and short-term investments totalling $759m at the end of the first quarter. Crypto platforms Anchorage Digital and Crypto.com are to provide custody for the Bitcoin holdings.

“We view Bitcoin as an apex instrument of financial freedom,” Trump Media CEO Devin Nunes said, hailing the move as a “big step forward” in the company’s plan to acquire “crown jewel assets consistent with America First principles”.

Shares of the company behind Truth Social, a streaming and social media platform, were down 6 percent in early trading.

Trump Media has been exploring potential mergers and acquisitions as it aims to diversify into financial services.

Last month, it reached a binding agreement to launch retail investment products, including cryptocurrency and exchange-traded funds aligned with Trump’s policies.

Embracing cryptocurrencies

The Trump family, long rooted in skyscrapers and golf clubs, has opened multiple beachheads in cryptocurrencies, quickly gaining hundreds of millions of dollars. Its other crypto forays include Trump nonfungible tokens (NFTs), a meme coin, a stake in a newly formed Bitcoin producer called American Bitcoin and the cryptocurrency exchange World Liberty Financial.

But the crypto push has attracted scrutiny from lawmakers, including Democratic Senator Elizabeth Warren, who last month asked the US securities regulator about its plans to supervise exchange-traded funds (ETFs) due to be launched by Trump Media.

Trump, who referred to cryptocurrencies in his first term as “not money”, citing their volatility and a value “based on thin air”, has shifted his views on the technology.

During an event at his Mar-a-Lago club in Florida during his presidential campaign in May 2024, Trump received assurances that crypto industry backers would spend lavishly to get him re-elected.

Last week, Trump rewarded 220 of the top investors in one of his other cryptocurrency projects, the $Trump meme coin, with a swanky dinner with him at his luxury golf club in northern Virginia, spurring accusations that the president was mixing his duties in the White House with personal profit.

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